Bitcoin Price Plummets as Hotter-Than-Expected Inflation Data Spooks Investors

Bitcoin fell from $50,000 to around $48,600 following a hotter-than-expected CPI reading, with the broader market experiencing a sell-off. The U.S. Bureau of Labor Statistics reported a larger increase in the January consumer price index than anticipated, leading to concerns about the Federal Reserve's ability to cut rates. While bitcoin remains a gauge on liquidity within the financial system, it is not necessarily an inflation hedge. Ether led the crypto rally on Monday, buoyed by anticipation of ethereum's next big tech upgrade and renewed interest in NFTs.