Why Is Bitcoin Dropping Today?

Hot inflation data, a looming Fed decision, and four straight days of ETF outflows are hitting Bitcoin from three directions at once, and the next 72 hours could determine whether the floor holds or breaks.

Bitcoin (CRYPTO:BTC) trades near $77,400, down from $79,155 on September 9 and from an intraday peak of $82,000 on September 4, a fall of 2.2% and 5.6%, respectively. August CPI came in hot on September 11, and the rates market repriced the same day.

Bitcoin is fighting three things at once: a repriced September 16 rate hike, a run of ETF redemptions, and holders selling into every push toward $80,000. So what’s pushing Bitcoin lower with three trading days to go before the Federal Open Market Committee decision?

Hot Core Inflation Pushed Hike Odds to 83%

Core CPI, which measures inflation excluding food and energy, rose 0.3% month over month against 0.2% expected, and Polymarket moved the September 16 hike to 83% after the release. The Federal Reserve’s target rate upper bound stands at 3.75%, unchanged since December 2025.

Brent crude broke $100 a barrel on September 9, hours after US forces struck Iran-linked tankers near the Strait of Hormuz. Energy prices feed core inflation through transportation, packaging and manufacturing, so oil holding above $100 flowed straight into the August CPI report.