Hot July PPI – What It Means for Crypto
The July Producer Price Index (PPI) came in hotter than expected, signaling rising wholesale prices in the U.S. economy.
Key Numbers:
• PPI YoY: +3.2% (vs. 2.8% expected)
• PPI MoM: +0.5% (vs. 0.3% expected)
• Core PPI (excluding food & energy): +2.9% YoY
Why It Matters for Crypto:
• A hotter PPI can pressure the Fed to maintain tighter monetary policy.
• Risk assets, including crypto, may face short-term selling pressure as traders price in prolonged high rates.
• Historically, sustained inflation data has increased interest in BTC as a hedge, but also boosted USD strength, creating near-term headwinds.
Market Snapshot (as of 08:00 UTC):
• BTC: $119,081 (-1.4%)
• ETH: $5,390 (-0.8%)
• SOL: $182.10 (-3.1%)
Will this hotter-than-expected PPI fuel a deeper pullback — or spark renewed interest in Bitcoin as an inflation hedge?
