Bitcoin fell by 4% after the publication of inflation data in the US

The flagship cryptocurrency fell by 4% after the US inflation figures came in higher than expected. Bitcoin sales surged, causing a loss of $ 8.48 billion in market capitalization in the first two hours after the inflation data was released.

The US government’s tough policy has reduced demand for cryptocurrencies, so many investors have started selling their digital savings. According to analysts, after the information about the rise in inflation in September, the Fed will raise interest rates again, which will further affect the value of bitcoin.

At the time of writing, the BTC has managed to recover, and the cryptocurrency is currently trading at $ 19,796. This is not the first time that bitcoin’s value has fallen after the publication of data on the US economy. On July 13, inflation in the United States reached 9.1%, the highest in 40 years, which caused BTC to fall below $ 19,000. Then the situation quickly stabilized and bitcoin returned to $ 19,302 in a matter of hours.