Bitcoin fell to $73,588, its lowest level in 11 weeks, after US inflation came in higher than expected in October.
Consumer prices rose 0.4% in October from the previous month, the US Bureau of Labor Statistics reported at 8:30 a.m. ET on Tuesday, November 10. Economists had expected a 0.3% increase. After the release, markets continued to fully price in a 25-basis-point rate hike by the Federal Reserve in December.
Bitcoin falls below $74,000 within half an hour
Bitcoin was already under pressure ahead of the US inflation report. After briefly topping $75,000 overnight, BTC was trading near $74,200 roughly two hours before the release.
Selling intensified after the Consumer Price Index (CPI) report came out. By 8:52 a.m. ET, Bitcoin had traded as low as $73,588, down as much as 1.4% on the day, according to LSEG data.
Demand for crypto had weakened ahead of the report. US-listed spot Bitcoin ETFs recorded about $201 million in net outflows on Monday, November 9, while spot Ether ETFs saw net outflows of $184.6 million. Ether was trading near $2,100 before Tuesday’s release.
Bitcoin’s decline coincided with losses in Nasdaq 100 futures ahead of the US stock market open. Five minutes after the release, futures on the tech-heavy index were down 1.1%. S&P 500 futures were down 0.5% at the same time, while Dow futures were flat.
Size of December Fed rate hike remains in focus
For crypto investors watching the Fed, one detail stood out in October’s report. Even after stripping out food and energy, consumer prices rose faster than economists had expected.
Headline inflation slowed to 0.4% in October from 0.6% in September. Core CPI, which excludes food and energy, rose 0.3% for the third straight month. Economists had forecast a 0.2% increase.
Speaking before the release, Fed Governor Christopher Waller said he was leaning toward supporting a 25-basis-point hike in December even if monthly inflation slowed. He said the Fed should also consider a 50-basis-point increase if price pressures intensified.
The Fed held its target rate range at 3.75% to 4% on October 28. A quarter-point increase would take that range to 4% to 4.25%.
The timing of the December meeting gives the October report added weight. Last year’s federal government shutdown prevented the bureau from collecting price data for October 2025, leaving it unable to publish a year-over-year inflation figure for October 2026. The bureau will release November’s CPI figures on December 10, one day after the Fed’s final rate decision of the year.
