Bitcoin (BTC) Price Crashes – What’s Should We Expect?
The cryptocurrency market faced fresh challenges on Thursday, with an unexpected rise in inflation and another regulatory move by U.S. authorities targeting a major crypto firm.
Bitcoin (BTC) dropped $59,000, a price not seen since the Federal Reserve’s recent surprise interest rate cut. Despite this drop, BTC managed to regain some of the losses and is currently priced at $59,800.
The inflation report, showing higher-than-expected price increases in September, shook hopes that the Federal Reserve might continue cutting rates. Some investors now speculate that the Fed may pause its rate reductions in November.
The crypto market saw significant sell-offs, wiping out around $147 million in long positions as rising oil prices and inflation worries dominated sentiment.
READ MORE: SEC Chair Gary Gensler Doubts Bitcoin’s Future as Payment Method
Later in the day, the SEC filed a lawsuit against Cumberland DRW, accusing it of trading crypto assets deemed to be securities without proper registration. Cumberland dismissed the allegations, saying it would maintain its current business operations.
This action came just a day after U.S. authorities charged multiple market makers and individuals with manipulation, and SEC Chair Gary Gensler reiterated his harsh stance against the crypto industry, describing it as fraught with misconduct.
With ongoing regulatory scrutiny and uncertainty around U.S. monetary policy, some analysts believe Bitcoin’s price may remain stagnant until the upcoming U.S. elections in November.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
