Bitcoin Leads the Way to Crypto Market Decline

The cryptocurrency market is dipping sharply as fears grow about incoming inflation data, with Bitcoin dropping sharply.

Written by: Timothy St. John • Tuesday, June 11, 2024 • 2 min read

• Last updated: Tuesday, June 11, 2024

Bitcoin (BTC) has lost its 19-day streak, falling to the lowest point since June 3^rd as it hits $66,795 (BTC/USD). The coin has been dramatically affected by the recent inflation news.

Down 3.39% today, Bitcoin is suffering from worries that Tuesday’s Fed meeting will issue dire news for US inflation. Those fears have driven the Bitcoin price down below key levels and made it very hard for the coin to quickly recover.

This is the biggest hit we have seen for the token in a while, and that will severely impact consumer confidence in the coin and the wider cryptocurrency market. Major cryptos all over fell right alongside it, with Ethereum (ETH) dropping 4% and Solana (SOL) down nearly 3%.

All across the board, the impact of US inflation concerns is being felt, and the US Bureau of Labor Statistics will issue its Consumer Price Index data today. That could easily drag down the markets even further, making Bitcoin’s chances of hitting a new record anytime soon almost zero.

How Soon Will Bitcoin Recover?

Bitcoin has a hard road ahead of it as the coin faces opposition from inflation and the loss of its positive streak. The coin may see a price correction later today, as investors buy the dip. What Bitcoin will have trouble with, though, is getting back above $70K.

After today’ inflation news, we may see a further pullback on the crypto market prices, with Bitcoin taking a lot of the brunt of that. As resilient as Bitcoin is, the token cannot perform as though inflation is not severe.

If the inflation news is not so bad and the Consumer Price Index points to an improving economy, then Bitcoin could bounce back quickly. Otherwise, we expect the coin to stay below $70K for a few days at least. If Bitcoin is to set a new record, that could be several weeks away, but of course, there may be more economic factors that will cause setbacks on the coin’s path to a new high.

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ABOUT THE AUTHOR See More

Timothy St. John

Financial Writer - European & US Desks

Timothy St John is a seasoned financial analyst and writer, catering to the dynamic landscapes of the US and European markets. Boasting over a decade of extensive freelance writing experience, he has made significant contributions to reputable platforms such as Yahoo!Finance, business.com: Expert Business Advice, Tips, and Resources - Business.com, and numerous others. Timothy's expertise lies in in-depth research and comprehensive coverage of stock and cryptocurrency movements, coupled with a keen understanding of the economic factors influencing currency dynamics. Timothy majored in English at East Tennessee State University, and you can find him on LinkedIn.