Question n° 383 ·
How did the U.S. Personal Consumption Expenditures report showing 2.8% inflation on December 5 correlate with Bitcoin’s drop to around $88,000?
- It resulted in investor belief of stronger economy and triggered Bitcoin accumulation and gains
- It coincided with technical support causing many traders to hold and limit Bitcoin losses
- Rising inflation heightened market concern causing investors to sell Bitcoin and push prices downward Bonne réponse
Pourquoi est-ce la bonne réponse?
This is correct because a higher PCE inflation rate often triggers fears of tighter monetary policy, leading investors to exit risk assets like Bitcoin. On December 5, the 2.8% reading amplified economic worries and contributed to the price drop to around $88,000. Beginners should link macroeconomic reports with crypto price movements.