All NewsEducationTV
Equities & FundsCrypto & Digital AssetsAI & TechnologyBusiness & CorporateUS Politics & PolicyGeopolitics & Global RiskMacro, Rates & FXCommodities & EnergyEuropean Politics & MarketsAsia-PacificReal Estate & Property
Story archiveAll categories
← All Stories

Bitcoin Price Steady as Fed's Preferred Inflation Gauge Cools

Created at 12 Aug · 3:25 PM1 source
IN SHORT

Bitcoin's price remained largely unchanged following the release of July's Personal Consumption Expenditures (PCE) price index, which showed a moderation in inflation. The data aligns with expectations of a stable interest rate environment.

✉Newsletter

PiQ Daily

Pick your topics. Get only what matters, on your cadence.

Who's Involved

Bitcoin
cryptocurrency whose price was largely flat
Federal Reserve
monitors the PCE price index as its preferred inflation gauge

↳ Why This Matters

The Federal Reserve's preferred inflation gauge, the PCE price index, showed a cooling trend in July, suggesting that interest rates may remain stable. This stability in inflation data can influence broader market sentiment and investment strategies, including those in the cryptocurrency space.

Key facts

  • Bitcoin's price remained largely flat.
  • July's Personal Consumption Expenditures (PCE) price index showed subdued inflation.
  • The PCE data is the Federal Reserve's preferred inflation gauge.

Bitcoin's price experienced minimal fluctuation in response to the release of the July Personal Consumption Expenditures (PCE) price index. The Federal Reserve's preferred measure of inflation showed a cooling trend for the month.

The subdued inflation data suggests that the Federal Reserve may maintain its current interest rate policy, as the economic conditions align with expectations for stable monetary policy. This lack of significant price movement in Bitcoin indicates that the cryptocurrency market has already priced in the expected inflation data.

Frequently asked questions

The Personal Consumption Expenditures (PCE) price index is a measure of the prices that people in the U.S. pay for goods and services. It is the Federal Reserve's preferred inflation gauge.

Bitcoin's price remained largely flat because the inflation data was largely in line with expectations, suggesting no immediate change in Federal Reserve policy that would significantly impact markets.

Subdued inflation typically suggests that central banks, like the Federal Reserve, may be less inclined to raise interest rates and could potentially hold them steady or consider cuts in the future.

What Happens Next

01Further analysis of the PCE data's implications for future Federal Reserve policy.
02Monitoring Bitcoin's price reaction to subsequent economic indicators.

Get the newsletter.

Pick the topics you actually care about. We'll email when there's news worth your time, on the cadence you choose. Cancel any time from your account.

Cadence
CME Headlines
  • Product Modification Summary: Amendments to the Strike Price Listing Schedule for all Hourly Event Contract Swaps on Ether — Effective August 10, 2026
    6 Aug · 7:45 PM
  • Amendments to the Strike Price Listing Schedule for all Hourly Event Contract Swaps on Ether
    5 Aug · 7:15 PM

How It Developed

Bitcoin's price showed little movement.
The Personal Consumption Expenditures (PCE) price index for July was released.
The PCE data indicated a cooling of inflation.

Sources

T1
Bitcoin Yawns As Fed’s Favorite Inflation Gauge EasesBitcoin Magazine

Related Stories

Regulators To Push Pro-Crypto Initiatives Following Clarity Act Delay
11 Aug · 9:40 PM
Bitcoin price range-bound amid ETF inflows vs. miner selling; CPI data eyed
11 Aug · 9:47 PM
Bitcoin Holds Near $64K Amid Inflation Data, Harmony Exploit Rattles Altcoins
12 Aug · 10:36 AM
Bank of Russia Approves Bitcoin Trading For Retail Investors
11 Aug · 4:31 PM
CFTC Charges Goliath Ventures With $400M Bitcoin Fraud
11 Aug · 8:21 PM