Bitcoin Braces For CPI as Oil Nears $100 and ETF Inflows Hit $3.8 Billion

Bitcoin (CRYPTO: BTC) is holding near $78,000 despite rising oil prices, elevated bond yields and renewed rate-hike fears. This sets up a major macro test as U.S. inflation data lands later this week.

Next Threat For BTC? Oil Or Rates

Scott Melker, speaking with Bloomberg ETF analyst James Seyffart, crypto investor Andrew Parish and industry expert Tillman Holloway on Sep.8, said risk assets are under pressure as Brent crude nears $100 per barrel and rising global bond yields revive expectations of tighter Federal Reserve policy.

The U.S. will release August PPI on Thursday and CPI on Friday, giving traders fresh clues on whether inflation is cooling enough to keep the Fed on hold.

Hot CPI or PPI data could push those odds higher and pressure Bitcoin.

Higher oil prices could lift inflation and increase expectations for another Fed rate hike.

However, Bitcoin’s correlation with the Nasdaq has weakened while its link with gold has strengthened, suggesting BTC may be trading more like a monetary asset than a tech-driven risk asset.

ETF Demand Keeps A Bid Under Bitcoin

Seyffart said spot Bitcoin ETFs have attracted roughly $3.8 billion in net inflows since Aug. 17, including about $730 million in a single session last week.