{"id":6223,"date":"2026-01-31T16:23:33","date_gmt":"2026-01-31T16:23:33","guid":{"rendered":"https:\/\/cryptonews.uk.com\/?p=6223"},"modified":"2026-01-31T16:23:33","modified_gmt":"2026-01-31T16:23:33","slug":"shock-surge-in-inflation-destroys-hopes-for-early-rate-cuts-as-bitcoin-price-sinks","status":"publish","type":"post","link":"https:\/\/cryptonews.uk.com\/?p=6223","title":{"rendered":"Shock surge in inflation destroys hopes for early rate cuts as Bitcoin price sinks"},"content":{"rendered":"<p><\/p>\n<div>\n<p>The December Producer Price Index didn&#8217;t just beat expectations, but it also revealed a persistent problem that forces markets to rethink the entire 2026 rate path.<\/p>\n<p>Final demand PPI rose 0.5% month-over-month, the sharpest jump since July, driven almost entirely by a 0.7% surge in services while goods prices sat flat. The headline came in at 3.0% year over year, beating expectations of 2.7%, but core PPI rose to 3.3% from 2.9%, the highest level since July 2025.<\/p>\n<p>Markets sold the news immediately. Bitcoin dipped below the $82,400 zone as it was trying to recover from an intraday low of $81,100. Meanwhile, Fed funds futures repriced to just 52 basis points of cuts for all of 2026, with the first quarter-point move now pegged for June.<\/p>\n<p>The dollar index is up 0.82% over the past 24 hours, and real yields on 10-year TIPS are near 1.90%.<\/p>\n<p>This raises the question of whether this confirms that disinflation has stalled in the exact place the Fed can&#8217;t ignore: services, where pricing power is sticky, and margins are expanding rather than compressing.<\/p>\n<div class=\"cs-coin-shortcode cs-coin-card\" role=\"group\" aria-label=\"Bitcoin market data\">\n<div class=\"cs-coin-card__metrics\">\n<p> <span class=\"cs-coin-card__label\">Market Cap<\/span> <span class=\"cs-coin-card__metric-value\"> $1.62T <\/span><\/p>\n<p> <span class=\"cs-coin-card__label\">24h Volume<\/span> <span class=\"cs-coin-card__metric-value\"> $51.79B <\/span><\/p>\n<p> <span class=\"cs-coin-card__label\">All-Time High<\/span> <span class=\"cs-coin-card__metric-value\"> $126,173.18 <\/span><\/p>\n<\/div>\n<\/div>\n<h2>What actually ran hot and why it matters<\/h2>\n<p>December&#8217;s report revealed sustained pricing power rather than transitory shocks.<\/p>\n<p>Trade services margins, which are the spread between what wholesalers and retailers pay versus what they charge, jumped 1.7%. Portfolio management fees climbed 2.0%, airline fares rose 2.9%, and hotel rooms spiked 7.3%.<\/p>\n<p>These aren&#8217;t categories buffeted by volatile commodity prices, but rather areas where firms successfully pass costs through to end users.<\/p>\n<p>Energy fell 1.4%, which normally would drag the headline lower. Instead, the service&#8217;s strength overpowered it. Even stripping out trade, transport, and warehousing, services still rose 0.3%.<\/p>\n<p>The Bureau&#8217;s narrowest core measure rose 0.4% for the eighth consecutive month, bringing the year-over-year rate to 3.5%.<\/p>\n<p>Eight straight monthly increases in the stickiest subset of PPI argue against dismissing this as noise. Trade margins can reverse quickly if demand weakens, but the broader services prints suggest firms retain pricing power across multiple categories.<\/p>\n<p>That&#8217;s the inflation the Fed targets when it talks about the \u201clast mile\u201d problem.<\/p>\n<figure id=\"attachment_517725\" aria-describedby=\"caption-attachment-517725\" style=\"width: 1582px\" class=\"wp-caption aligncenter\"><img fetchpriority=\"high\" fetchpriority=\"high\" decoding=\"async\" class=\"wp-image-517725 size-full\" src=\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2026\/01\/Photos_63fN505HIi.jpg\" alt=\"What ran hot\" width=\"1582\" height=\"938\" srcset=\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2026\/01\/Photos_63fN505HIi.jpg 1582w, https:\/\/cryptoslate.com\/wp-content\/uploads\/2026\/01\/Photos_63fN505HIi-300x178.jpg 300w, https:\/\/cryptoslate.com\/wp-content\/uploads\/2026\/01\/Photos_63fN505HIi-1024x607.jpg 1024w, https:\/\/cryptoslate.com\/wp-content\/uploads\/2026\/01\/Photos_63fN505HIi-768x455.jpg 768w, https:\/\/cryptoslate.com\/wp-content\/uploads\/2026\/01\/Photos_63fN505HIi-1536x911.jpg 1536w\" sizes=\"(max-width: 1582px) 100vw, 1582px\"\/><figcaption id=\"caption-attachment-517725\" class=\"wp-caption-text\">December&#8217;s PPI rose 0.5% month-over-month, driven by services up 0.7% while goods remained flat, with hotels surging 7.3%.<\/figcaption><\/figure>\n<div class=\"cs-article-embed\">\n<div class=\"cs-article-embed__media\"> <img loading=\"lazy\" width=\"1024\" height=\"538\" src=\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2026\/01\/bitcoin-etf-outflow-1-1024x538.jpg\" alt=\"Bitcoin reversal on the cards after $1.7 billion liquidation wave flushed out overleveraged traders\" loading=\"lazy\" decoding=\"async\"\/><img loading=\"lazy\" class=\"lazyload\" width=\"1024\" height=\"538\" src=\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2026\/01\/bitcoin-etf-outflow-1-1024x538.jpg\" alt=\"Bitcoin reversal on the cards after $1.7 billion liquidation wave flushed out overleveraged traders\" loading=\"lazy\" decoding=\"async\"\/><\/div>\n<div class=\"cs-article-embed__body\"> <span class=\"cs-article-embed__related-reading\">Related Reading<\/span><\/p>\n<h3 class=\"cs-article-embed__title\">Bitcoin reversal on the cards after $1.7 billion liquidation wave flushed out overleveraged traders<\/h3>\n<p class=\"cs-article-embed__summary\">The market just discovered exactly how much hidden leverage was propping up prices before the floor fell out.<\/p>\n<p> <span class=\"cs-article-embed__meta-item\">Jan 30, 2026<\/span> <span class=\"cs-article-embed__meta-divider\">\u00b7<\/span> <span class=\"cs-article-embed__meta-item\">Andjela Radmilac<\/span><\/p>\n<\/div><\/div>\n<h2>The PPI-to-PCE bridge and the Feb. 20 gate<\/h2>\n<p>Producer prices don&#8217;t directly set monetary policy, as the Federal Reserve monitors Personal Consumption Expenditures inflation, which is released on Feb. 20. However, PPI components are mechanically incorporated into PCE calculations.<\/p>\n<p>Portfolio management, airfares, and lodging all show up as inputs to core PCE, meaning December&#8217;s hot PPI creates an upward tilt for the print markets that will be scrutinized in three weeks.<\/p>\n<p>Economists currently estimate that December core PCE is between 0.3% and 0.4% month over month, implying approximately 3.0% year over year.<\/p>\n<p>The Cleveland Fed&#8217;s nowcast tracks January 2026 core PCE at roughly 2.76% year-over-year. The value is still above the Federal Reserve&#8217;s 2% target, but not accelerating into the mid-3% range that would prompt an immediate hawkish pivot.<\/p>\n<p>Government shutdown disrupted data collection and necessitated the BEA&#8217;s approximation of missing CPI inputs for October&#8217;s PCE report. Revision risk is higher than usual, which means the first print on Feb. 20 might not be the final word.<\/p>\n<p>Markets hate ambiguity, and ambiguity around the Fed&#8217;s preferred inflation gauge keeps real yields elevated and risk assets volatile.<\/p>\n<div class=\"cs-article-embed\">\n<div class=\"cs-article-embed__media\"> <img loading=\"lazy\" width=\"1024\" height=\"538\" src=\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2025\/10\/government-shutdown-inflow--1024x538.jpg\" alt=\"US shutdown and weak jobs data drive record $6B crypto inflows\" loading=\"lazy\" decoding=\"async\"\/><img loading=\"lazy\" class=\"lazyload\" width=\"1024\" height=\"538\" src=\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2025\/10\/government-shutdown-inflow--1024x538.jpg\" alt=\"US shutdown and weak jobs data drive record $6B crypto inflows\" loading=\"lazy\" decoding=\"async\"\/><\/div>\n<div class=\"cs-article-embed__body\"> <span class=\"cs-article-embed__related-reading\">Related Reading<\/span><\/p>\n<h3 class=\"cs-article-embed__title\">US shutdown and weak jobs data drive record $6B crypto inflows<\/h3>\n<p class=\"cs-article-embed__summary\">Investors turn to digital assets as US government shutdown and weak jobs data raise fiscal stability doubts.<\/p>\n<p> <span class=\"cs-article-embed__meta-item\">Oct 6, 2025<\/span> <span class=\"cs-article-embed__meta-divider\">\u00b7<\/span> <span class=\"cs-article-embed__meta-item\">Oluwapelumi Adejumo<\/span><\/p>\n<\/div><\/div>\n<h2>What the market now believes<\/h2>\n<p>As of Jan. 30, Fed funds futures price approximately 52 basis points of cuts across 2026, with two quarter-point moves, the first likely in June. The market assigns less than 30% probability to cuts in March or April and around 65% to a June move.<\/p>\n<p>Compare that to the Fed&#8217;s December Summary of Economic Projections: the median participant saw the policy rate ending 2026 at 3.375%, roughly one cut from today&#8217;s 3.50%-3.75% range.<\/p>\n<p>The Congressional Budget Office (CBO) projected that the policy rate would drift to about 3.4% by the fourth quarter of 2026 and remain flat through 2028, with inflation remaining above 2% for years due to tariffs and tax cuts.<\/p>\n<p>The market is pricing slightly more easing than the Fed&#8217;s median dot, but far less than the \u201cnormalization\u201d path some had hoped for.<\/p>\n<div class=\"code-block code-block-5\" style=\"margin: 8px 0; clear: both;\">\n<div class=\"placement desktop us-deny-hide hidden\" style=\"max-height: 107px\">  <img width=\"1456\" height=\"180\" decoding=\"async\" style=\"display: block; width: 728px; max-height: 90px; max-width: 100%; margin: auto; height: 90px;\" src=\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2025\/11\/bc_game168_Sposorship_1456x180.gif\" alt=\"BC Game\"\/><img class=\"lazyload\" width=\"1456\" height=\"180\" decoding=\"async\" style=\"display: block; width: 728px; max-height: 90px; max-width: 100%; margin: auto; height: 90px;\" src=\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2025\/11\/bc_game168_Sposorship_1456x180.gif\" alt=\"BC Game\"\/> <\/div>\n<\/div>\n<p>The CBO&#8217;s projection implies that inflation won&#8217;t cooperate even with modest easing. Rates stay higher for longer, not because the Fed is hawkish, but because the economy won&#8217;t deliver the disinflation needed to justify deeper cuts.<\/p>\n<figure id=\"attachment_517726\" aria-describedby=\"caption-attachment-517726\" style=\"width: 1448px\" class=\"wp-caption aligncenter\"><img decoding=\"async\" class=\"wp-image-517726 size-full\" src=\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2026\/01\/Photos_8u4RB907B9.jpg\" alt=\"2026-2028 rate paths\" width=\"1448\" height=\"942\" srcset=\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2026\/01\/Photos_8u4RB907B9.jpg 1448w, https:\/\/cryptoslate.com\/wp-content\/uploads\/2026\/01\/Photos_8u4RB907B9-300x195.jpg 300w, https:\/\/cryptoslate.com\/wp-content\/uploads\/2026\/01\/Photos_8u4RB907B9-1024x666.jpg 1024w, https:\/\/cryptoslate.com\/wp-content\/uploads\/2026\/01\/Photos_8u4RB907B9-768x500.jpg 768w\" sizes=\"(max-width: 1448px) 100vw, 1448px\"\/><img loading=\"lazy\" decoding=\"async\" class=\"lazyload wp-image-517726 size-full\" src=\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2026\/01\/Photos_8u4RB907B9.jpg\" alt=\"2026-2028 rate paths\" width=\"1448\" height=\"942\" srcset=\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2026\/01\/Photos_8u4RB907B9.jpg 1448w, https:\/\/cryptoslate.com\/wp-content\/uploads\/2026\/01\/Photos_8u4RB907B9-300x195.jpg 300w, https:\/\/cryptoslate.com\/wp-content\/uploads\/2026\/01\/Photos_8u4RB907B9-1024x666.jpg 1024w, https:\/\/cryptoslate.com\/wp-content\/uploads\/2026\/01\/Photos_8u4RB907B9-768x500.jpg 768w\" data-sizes=\"(max-width: 1448px) 100vw, 1448px\"\/><figcaption id=\"caption-attachment-517726\" class=\"wp-caption-text\">Markets price roughly two rate cuts in 2026 starting in June, while the Fed&#8217;s median projection shows one cut and the CBO forecasts rates staying near 3.4% through 2028.<\/figcaption><\/figure>\n<div class=\"cs-article-embed\">\n<div class=\"cs-article-embed__media\"> <img loading=\"lazy\" width=\"1024\" height=\"538\" src=\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2026\/01\/shattered-globe-market-1024x538.jpg\" alt=\"Global markets crash as everything including Bitcoin sells off at once erasing trillions\" loading=\"lazy\" decoding=\"async\"\/><img loading=\"lazy\" class=\"lazyload\" width=\"1024\" height=\"538\" src=\"https:\/\/cryptoslate.com\/wp-content\/uploads\/2026\/01\/shattered-globe-market-1024x538.jpg\" alt=\"Global markets crash as everything including Bitcoin sells off at once erasing trillions\" loading=\"lazy\" decoding=\"async\"\/><\/div>\n<div class=\"cs-article-embed__body\"> <span class=\"cs-article-embed__related-reading\">Related Reading<\/span><\/p>\n<h3 class=\"cs-article-embed__title\">Global markets crash as everything including Bitcoin sells off at once erasing trillions<\/h3>\n<p class=\"cs-article-embed__summary\">Over $800 million in long positions were wiped out in minutes as the US open turned into a brutal liquidity bloodbath for unsuspecting traders.<\/p>\n<p> <span class=\"cs-article-embed__meta-item\">Jan 29, 2026<\/span> <span class=\"cs-article-embed__meta-divider\">\u00b7<\/span> <span class=\"cs-article-embed__meta-item\">Liam &#8216;Akiba&#8217; Wright<\/span><\/p>\n<\/div><\/div>\n<h2>Three scenarios for rates and Bitcoin<\/h2>\n<p>The base case for rates and Bitcoin consists of two cuts, starting in June.<\/p>\n<p>Feb. 20&#8217;s PCE comes in at around 0.3%-0.4% month-over-month, confirming sticky but not accelerating inflation. The Fed cuts twice, by roughly 50 basis points, keeping policy restrictive enough to contain inflation without choking growth.<\/p>\n<p>For Bitcoin, this translates to choppy conditions. Higher real yields and a firm dollar create opportunity-cost drag, but a glidepath of two cuts isn&#8217;t outright tightening.<\/p>\n<div id=\"cs-inline-newsletter-697e20ddbf465\" class=\"cs-inline-newsletter\" data-inline-newsletter=\"\">\n<div class=\"cs-inline-newsletter__inner\">\n<div class=\"cs-inline-newsletter__content\"> <span class=\"cs-inline-newsletter__eyebrow\">CryptoSlate Daily Brief<\/span><\/p>\n<h3 class=\"cs-inline-newsletter__title\">Daily signals, zero noise.<\/h3>\n<p class=\"cs-inline-newsletter__copy\">Market-moving headlines and context delivered every morning in one tight read.<\/p>\n<p> <span><i class=\"fa-regular fa-bolt\" aria-hidden=\"true\"\/> 5-minute digest<\/span> <span><i class=\"fa-regular fa-star\" aria-hidden=\"true\"\/> 100k+ readers<\/span><\/p>\n<\/div>\n<div class=\"cs-inline-newsletter__form-shell\">\n<p class=\"cs-inline-newsletter__privacy\">Free. No spam. Unsubscribe any time.<\/p>\n<p> <i class=\"fa-regular fa-circle-xmark\" aria-hidden=\"true\"\/> <span>Whoops, looks like there was a problem. Please try again.<\/span><\/p>\n<p> <i class=\"fa-regular fa-circle-check\" aria-hidden=\"true\"\/> <span>You\u2019re subscribed. Welcome aboard.<\/span><\/p>\n<\/div>\n<\/div>\n<\/div>\n<p>The hawk case is \u201chigher for longer.\u201d Feb. 20&#8217;s core PCE prints 0.4% month-over-month, and the following months don&#8217;t cool. Services inflation stays broad, and the Fed delivers just one cut or none.<\/p>\n<p>Markets reprice toward zero or one moves, real yields rise, and the dollar strengthens. Bitcoin faces a clear headwind. Dollar strength correlates negatively with Bitcoin returns, and the absence of expected easing pressures crypto prices by raising the hurdle rate for speculative assets.<\/p>\n<p>For the dove case, disinflation resumes, and growth softens. December and January core PCE come in near the 0.2% month-over-month trend from mid-2025, labor markets show cracks, and the Fed can \u201ccatch up\u201d on cuts.<\/p>\n<p>Three to five cuts, 75 to 125 basis points, become plausible. Real yields fall, the dollar weakens, and risk appetite rebounds.<\/p>\n<p>Bitcoin would benefit from easier financial conditions, though the initial trigger of growth weakness could create a risk-off shock before the dovish repricing takes hold.<\/p>\n<table>\n<thead>\n<tr>\n<th>Scenario<\/th>\n<th><strong>Base<\/strong><\/th>\n<th><strong>Hawk<\/strong><\/th>\n<th><strong>Dove<\/strong><\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td><strong>Feb 20 core PCE signal (gate)<\/strong><\/td>\n<td><strong>0.3%\u20130.4% m\/m<\/strong> (sticky, not accelerating)<\/td>\n<td><strong>\u22650.4% m\/m<\/strong> and follow-through risk (services stays broad)<\/td>\n<td><strong>~0.2% m\/m<\/strong> trend resumption + softer activity<\/td>\n<\/tr>\n<tr>\n<td><strong>2026 cuts (policy path)<\/strong><\/td>\n<td><strong>~50 bps<\/strong> (\u22482 cuts), starting <strong>June<\/strong><\/td>\n<td><strong>0\u201325 bps<\/strong> (0\u20131 cut), \u201chigher for longer\u201d<\/td>\n<td><strong>75\u2013125 bps<\/strong> (\u22483\u20135 cuts), earlier\/steeper easing<\/td>\n<\/tr>\n<tr>\n<td><strong>Real yields (10y TIPS) direction<\/strong><\/td>\n<td><strong>Flat-high<\/strong> (stays elevated)<\/td>\n<td><strong>Higher<\/strong> (tightening via expectations)<\/td>\n<td><strong>Lower<\/strong> (policy + disinflation pull real rates down)<\/td>\n<\/tr>\n<tr>\n<td><strong>Dollar (DXY) direction<\/strong><\/td>\n<td><strong>Firm<\/strong> (rate differential stays supportive)<\/td>\n<td><strong>Stronger<\/strong> (higher real-rate premium)<\/td>\n<td><strong>Softer<\/strong> (differentials compress, liquidity improves)<\/td>\n<\/tr>\n<tr>\n<td><strong>BTC bias<\/strong><\/td>\n<td><strong>Choppy \/ range-bound<\/strong> (opportunity-cost drag offset by \u201cnot tightening\u201d)<\/td>\n<td><strong>Headwind<\/strong> (higher hurdle rate + stronger USD)<\/td>\n<td><strong>Tailwind<\/strong> (easier conditions), <em>but watch initial risk-off if growth cracks<\/em><\/td>\n<\/tr>\n<tr>\n<td><strong>What to watch next (2-week checklist)<\/strong><\/td>\n<td><strong>Confirm:<\/strong> 10y real yields + DXY move <strong>together<\/strong> (or not). <strong>Validate:<\/strong> BTC stops making lower lows when yields stabilize. <strong>Risk:<\/strong> PCE revision risk (shutdown distortions).<\/td>\n<td><strong>Confirm:<\/strong> real yields make new highs <strong>and<\/strong> DXY breaks higher. <strong>Validate:<\/strong> BTC fails to reclaim key levels on bounces. <strong>Risk:<\/strong> \u201chigher for longer\u201d rhetoric hardens before\/after Feb 20.<\/td>\n<td><strong>Confirm:<\/strong> real yields roll over <strong>and<\/strong> DXY softens. <strong>Validate:<\/strong> BTC strength persists beyond one-day relief. <strong>Risk:<\/strong> if dovishness = recession shock, BTC can wobble before repricing helps.<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<h2>What changes for crypto positioning right now<\/h2>\n<p>The tactical question isn&#8217;t whether to make a directional bet, but whether the post-PPI repricing creates a durable shift in the macro dials that matter for Bitcoin.<\/p>\n<p>Two variables provide the cleanest read: real yields and the dollar.<\/p>\n<p>Real yields on 10-year TIPS sit around 1.90%, well above the sub-1% levels that prevailed during Bitcoin&#8217;s 2020-2021 rally. As long as real yields stay elevated, the opportunity cost of holding Bitcoin remains high.<\/p>\n<p>The dollar index at 96.92 reflects global liquidity conditions. If \u201chigher for longer\u201d plays out, the US dollar should strengthen as US real rates remain elevated.<\/p>\n<p>If the dovish scenario materializes, the dollar should weaken as rate differentials compress.<\/p>\n<p>The cleanest signal would be confirmation across both. Real yields and the dollar moving in tandem, followed by sustained Bitcoin weakness or strength.<\/p>\n<p>Jan. 30&#8217;s price action of dollar up, yields up, and Bitcoin down to a two-month low fits the hawkish repricing narrative, but one day doesn&#8217;t make a trend.<\/p>\n<p>The next two weeks leading up to the Feb. 20 PCE release will show whether markets commit to that view or revert to range-bound uncertainty.<\/p>\n<p>December&#8217;s PPI raises the stakes for the Feb. 20 PCE release.<\/p>\n<p>If services inflation proves as sticky as this report suggests, the Fed&#8217;s ability to ease in 2026 narrows considerably. Not because officials want to stay restrictive, but because the data won&#8217;t cooperate.<\/p>\n<p>For Bitcoin, the question isn&#8217;t whether it can rally despite higher real yields, since it has before. The question is whether the base case for 2026 now assumes tighter-for-longer conditions as the default.<\/p>\n<p>The market is pricing 52 basis points of cuts, but that&#8217;s a median expectation with wide tails. The Fed holds the trigger, but inflation data will decide whether it gets pulled twice, once, or not at all.<\/p>\n<\/div>\n<p>Analysis,In Focus,Macro#Shock #surge #inflation #destroys #hopes #early #rate #cuts #Bitcoin #price #sinks1769876613<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The December Producer Price Index didn&#8217;t just beat expectations, but it also revealed a persistent problem that forces markets to rethink the entire 2026 rate path. Final demand PPI rose 0.5% month-over-month, the sharpest jump since July, driven almost entirely by a 0.7% surge in services while goods prices sat flat. The headline came in<\/p>\n","protected":false},"author":1,"featured_media":6224,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[8],"tags":[91,2024,2022,122,2023,94,49,896,469,2025,456],"class_list":{"0":"post-6223","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-ethereum","8":"tag-bitcoin","9":"tag-cuts","10":"tag-destroys","11":"tag-early","12":"tag-hopes","13":"tag-inflation","14":"tag-price","15":"tag-rate","16":"tag-shock","17":"tag-sinks","18":"tag-surge"},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v26.6 (Yoast SEO v26.6) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Shock surge in inflation destroys hopes for early rate cuts as Bitcoin price sinks - Crypto News: Latest Cryptocurrency News and Analysis<\/title>\n<meta name=\"description\" content=\"PPI feeds into PCE, and with shutdown era revisions looming, markets may stay volatile until that February print lands.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/cryptonews.uk.com\/?p=6223\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Shock surge in inflation destroys hopes for early rate cuts as Bitcoin price sinks\" \/>\n<meta property=\"og:description\" content=\"PPI feeds into PCE, and with shutdown era revisions looming, markets may stay volatile until that February print lands.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/cryptonews.uk.com\/?p=6223\" \/>\n<meta property=\"og:site_name\" content=\"Crypto News: Latest Cryptocurrency News and Analysis\" \/>\n<meta property=\"article:published_time\" content=\"2026-01-31T16:23:33+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/cryptonews.uk.com\/wp-content\/uploads\/2026\/01\/bitcoin-price-sink.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1200\" \/>\n\t<meta property=\"og:image:height\" content=\"630\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"\u884c\u653f\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"\u884c\u653f\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"8 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/cryptonews.uk.com\/?p=6223\",\"url\":\"https:\/\/cryptonews.uk.com\/?p=6223\",\"name\":\"Shock surge in inflation destroys hopes for early rate cuts as Bitcoin price sinks - Crypto News: Latest Cryptocurrency News and Analysis\",\"isPartOf\":{\"@id\":\"https:\/\/cryptonews.uk.com\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/cryptonews.uk.com\/?p=6223#primaryimage\"},\"image\":{\"@id\":\"https:\/\/cryptonews.uk.com\/?p=6223#primaryimage\"},\"thumbnailUrl\":\"https:\/\/cryptonews.uk.com\/wp-content\/uploads\/2026\/01\/bitcoin-price-sink.jpg\",\"datePublished\":\"2026-01-31T16:23:33+00:00\",\"author\":{\"@id\":\"https:\/\/cryptonews.uk.com\/#\/schema\/person\/822778c5844e0d16d43dce6630f4f1bf\"},\"description\":\"PPI feeds into PCE, and with shutdown era revisions looming, markets may stay volatile until that February print lands.\",\"breadcrumb\":{\"@id\":\"https:\/\/cryptonews.uk.com\/?p=6223#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/cryptonews.uk.com\/?p=6223\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/cryptonews.uk.com\/?p=6223#primaryimage\",\"url\":\"https:\/\/cryptonews.uk.com\/wp-content\/uploads\/2026\/01\/bitcoin-price-sink.jpg\",\"contentUrl\":\"https:\/\/cryptonews.uk.com\/wp-content\/uploads\/2026\/01\/bitcoin-price-sink.jpg\",\"width\":1200,\"height\":630},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/cryptonews.uk.com\/?p=6223#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/cryptonews.uk.com\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Shock surge in inflation destroys hopes for early rate cuts as Bitcoin price sinks\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/cryptonews.uk.com\/#website\",\"url\":\"https:\/\/cryptonews.uk.com\/\",\"name\":\"Crypto News: Latest Cryptocurrency News and Analysis\",\"description\":\"Latest Crypto &amp; Bitcoin News\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/cryptonews.uk.com\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Person\",\"@id\":\"https:\/\/cryptonews.uk.com\/#\/schema\/person\/822778c5844e0d16d43dce6630f4f1bf\",\"name\":\"\u884c\u653f\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/cryptonews.uk.com\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/e4c2d23409b09e004cef3facbe677e95c5401f9e29680f3a311e0130c5748089?s=96&d=mm&r=g\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/e4c2d23409b09e004cef3facbe677e95c5401f9e29680f3a311e0130c5748089?s=96&d=mm&r=g\",\"caption\":\"\u884c\u653f\"},\"sameAs\":[\"http:\/\/demo3.aiwalls.com\/coinbase\"],\"url\":\"https:\/\/cryptonews.uk.com\/?author=1\"}]}<\/script>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"Shock surge in inflation destroys hopes for early rate cuts as Bitcoin price sinks - Crypto News: Latest Cryptocurrency News and Analysis","description":"PPI feeds into PCE, and with shutdown era revisions looming, markets may stay volatile until that February print lands.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/cryptonews.uk.com\/?p=6223","og_locale":"en_US","og_type":"article","og_title":"Shock surge in inflation destroys hopes for early rate cuts as Bitcoin price sinks","og_description":"PPI feeds into PCE, and with shutdown era revisions looming, markets may stay volatile until that February print lands.","og_url":"https:\/\/cryptonews.uk.com\/?p=6223","og_site_name":"Crypto News: Latest Cryptocurrency News and Analysis","article_published_time":"2026-01-31T16:23:33+00:00","og_image":[{"width":1200,"height":630,"url":"https:\/\/cryptonews.uk.com\/wp-content\/uploads\/2026\/01\/bitcoin-price-sink.jpg","type":"image\/jpeg"}],"author":"\u884c\u653f","twitter_card":"summary_large_image","twitter_misc":{"Written by":"\u884c\u653f","Est. reading time":"8 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/cryptonews.uk.com\/?p=6223","url":"https:\/\/cryptonews.uk.com\/?p=6223","name":"Shock surge in inflation destroys hopes for early rate cuts as Bitcoin price sinks - Crypto News: Latest Cryptocurrency News and Analysis","isPartOf":{"@id":"https:\/\/cryptonews.uk.com\/#website"},"primaryImageOfPage":{"@id":"https:\/\/cryptonews.uk.com\/?p=6223#primaryimage"},"image":{"@id":"https:\/\/cryptonews.uk.com\/?p=6223#primaryimage"},"thumbnailUrl":"https:\/\/cryptonews.uk.com\/wp-content\/uploads\/2026\/01\/bitcoin-price-sink.jpg","datePublished":"2026-01-31T16:23:33+00:00","author":{"@id":"https:\/\/cryptonews.uk.com\/#\/schema\/person\/822778c5844e0d16d43dce6630f4f1bf"},"description":"PPI feeds into PCE, and with shutdown era revisions looming, markets may stay volatile until that February print lands.","breadcrumb":{"@id":"https:\/\/cryptonews.uk.com\/?p=6223#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/cryptonews.uk.com\/?p=6223"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/cryptonews.uk.com\/?p=6223#primaryimage","url":"https:\/\/cryptonews.uk.com\/wp-content\/uploads\/2026\/01\/bitcoin-price-sink.jpg","contentUrl":"https:\/\/cryptonews.uk.com\/wp-content\/uploads\/2026\/01\/bitcoin-price-sink.jpg","width":1200,"height":630},{"@type":"BreadcrumbList","@id":"https:\/\/cryptonews.uk.com\/?p=6223#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/cryptonews.uk.com\/"},{"@type":"ListItem","position":2,"name":"Shock surge in inflation destroys hopes for early rate cuts as Bitcoin price sinks"}]},{"@type":"WebSite","@id":"https:\/\/cryptonews.uk.com\/#website","url":"https:\/\/cryptonews.uk.com\/","name":"Crypto News: Latest Cryptocurrency News and Analysis","description":"Latest Crypto &amp; Bitcoin News","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/cryptonews.uk.com\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/cryptonews.uk.com\/#\/schema\/person\/822778c5844e0d16d43dce6630f4f1bf","name":"\u884c\u653f","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/cryptonews.uk.com\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/e4c2d23409b09e004cef3facbe677e95c5401f9e29680f3a311e0130c5748089?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/e4c2d23409b09e004cef3facbe677e95c5401f9e29680f3a311e0130c5748089?s=96&d=mm&r=g","caption":"\u884c\u653f"},"sameAs":["http:\/\/demo3.aiwalls.com\/coinbase"],"url":"https:\/\/cryptonews.uk.com\/?author=1"}]}},"_links":{"self":[{"href":"https:\/\/cryptonews.uk.com\/index.php?rest_route=\/wp\/v2\/posts\/6223","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/cryptonews.uk.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/cryptonews.uk.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/cryptonews.uk.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/cryptonews.uk.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=6223"}],"version-history":[{"count":0,"href":"https:\/\/cryptonews.uk.com\/index.php?rest_route=\/wp\/v2\/posts\/6223\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/cryptonews.uk.com\/index.php?rest_route=\/wp\/v2\/media\/6224"}],"wp:attachment":[{"href":"https:\/\/cryptonews.uk.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=6223"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/cryptonews.uk.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=6223"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/cryptonews.uk.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=6223"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}