Bitcoin price reacts to higher-than-expected US CPI figures for September

The US consumer price index measured a rising 2.4% inflation rate in September compared to the same month last year.

However, this figure was slightly higher than expected, which could lead to further changes in the US Fed’s monetary policy.

Broad expectations were for a 0.1% rise in September’s CPI from August, while the actual figure stood at 0.2%.

On an annual basis, the CPI was also higher than expected: 2.4% versus 2.3%. The core CPI, which excludes volatile sectors such as food and energy, rose 0.3% last month, while forecasts showed a 0.2% increase.

That could overturn Federal Reserve policy just weeks after the central bank cut interest rates for the first time in more than four years, experts say.

The Fed could return to its previous strategy and halt interest rate cuts, although Chairman Powell recently outlined two more possible cuts before the end of the year.

Perhaps this is why BTC price reacted with an immediate minor drop. The asset had just risen to $61,250, but the CPI data pushed it south once again by $500. However, it has regained some ground and now sits near $61,000.

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