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Bitcoin Falls to $70,000 After Fed, Inflation Jolt Despite ETF Demand

Fed guidance following hotter PPI reset rate‑cut expectations, dragging risk assets lower.

Overview

  • Bitcoin pulled back to roughly $69,600–$71,000 after reversing from the mid‑$70,000s, with $70,000 now acting as a key support and $75,000–$77,000 capping rallies.
  • Hot U.S. producer‑price data, hawkish remarks from Chair Jerome Powell and rising oil linked to Middle East tensions weighed on risk appetite and pressured prices.
  • Roughly $406 million in leveraged positions were liquidated across 129,000 traders in 24 hours, accelerating the slide as open interest declined.
  • U.S. spot Bitcoin ETFs logged about $1.1–$1.16 billion of net inflows over seven sessions before a single‑day outflow of roughly $129 million as prices fell, signaling resilient but not unbroken institutional demand.
  • On‑chain data showed short‑term holders sent over 48,000 BTC in profit to exchanges near $75,000, while derivatives positioning has longs clustered above ~$73,000 and large short stacks near $80,000–$90,000, leaving scope for sharp, liquidity‑driven moves.