Bitcoin plunges to $58K, lowest in 21 months, as US PCE inflation hits 3-year high

Key Facts

1Bitcoin fell to $58,000, a 21-month low, after US PCE inflation data hit a 3-year high.

2Total crypto liquidations reached $600 million in one hour.

Amid escalating US inflation fears, the cryptocurrency market experienced a sharp sell-off. According to reports, Bitcoin dropped to $58,000, its lowest in 21 months, after US PCE inflation hit a three-year high. Total crypto liquidations reached $600 million within one hour.

The decline reflects investors' flight to safe-haven assets, away from risk-on instruments, as expectations of continued Fed rate hikes weigh on sentiment. Market data shows Bitcoin has lost significant ground recently, with sentiment across the crypto sector turning bearish. Analysts suggest that a sustained break below $60,000 could open the door to further losses.

Bitcoin is trading near its 21-month low, with markets eyeing Fed Governor Christopher Waller's speech on June 22 for interest-rate clues. Upcoming US jobs data for June will also serve as a key catalyst for the next directional move in the cryptocurrency.