Inflation data exceeding expectations dampened rate cut expectations, causing Bitcoin to temporarily fall back to around $65,600.

GateUser-6433627c · 2026-02-27T15:49:40+00:00

Affected by US inflation data, the Federal Reserve's rate cut expectations have cooled, causing Bitcoin prices to fluctuate downward, dropping to $65,600 at one point, then rebounding to $66,000. Market volatility has been evident this week, with persistent inflation increasing pressure on risk assets.

GateUser-6433627c

2026-02-27 15:49:40

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On February 27, according to Bloomberg, influenced by stronger-than-expected US inflation data, market expectations for a short-term rate cut by the Federal Reserve cooled, risk appetite declined, and Bitcoin fluctuated downward on Friday evening, briefly falling near $65,600. It has since rebounded to around $66,000. This week’s market has been volatile, with prices rebounding close to $70,000 on Wednesday, the first time since February 16 to approach that level, but then giving back most of the gains. Market participants noted that increased inflation stickiness has weakened expectations for easing, putting overall pressure on risk assets, and the crypto market’s short-term sentiment has been fluctuating with macro expectations.

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