Bitcoin (BTC) experienced a 2.3% decline following the opening of Wall Street on March 12, in response to persistent high inflation in the United States and its potential impact on interest rate adjustments in 2024.

Inflation remains elevated after the release of the Consumer Price Index (CPI) data for February, exceeding expectations at 0.4%. Year-on-year, the rate rose to 3.2%, surpassing estimates and the previous month’s figure.

Market observers are now speculating about the likelihood of the Federal Reserve reducing interest rates in the near future. The odds of a rate cut in March are currently low, with traders anticipating a possible adjustment in June.

JPMorgan Chase CEO Jamie Dimon suggested delaying any rate cuts until later in the year to allow for a more informed decision based on economic data.

Despite concerns over inflation, continued inflows into Bitcoin exchange-traded funds (ETFs) are helping to counterbalance selling pressure. Recent data indicates significant inflows into spot Bitcoin ETFs, with positive trends in ETF flows observed.

BlackRock’s iShares Bitcoin Trust, Fidelity’s Wise Origin Bitcoin Fund, and ARK 21Shares Bitcoin ETF are among the leading funds holding substantial Bitcoin assets.

It’s important to note that this article is for informational purposes only and does not constitute investment advice. Readers are encouraged to conduct their own research before making any investment decisions. For more news and updates on cryptocurrencies, investing, and finance, visit Global Crypto News.

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