Bitcoin slips under $80,000 before rebounding above $82,000 after hotter PPI

Bitcoin dropped below $80,000 this week and then climbed back above $82,000 after a hotter-than-expected U.S. inflation reading added another jolt to a market already trading around a major Washington policy vote. CoinMarketCap data showed bitcoin fell as low as $78,909.68 on May 14 before closing that day at $81,051.25, after touching $82,005.96. CoinShares said digital-asset investment products took in $857.9 million in the week through May 11, extending a six-week run of inflows. The Senate Banking Committee, meanwhile, advanced the Digital Asset Market Clarity Act on May 15, giving crypto traders another policy marker to watch. ### How far did bitcoin fall, and how fast did it bounce? May 14 marked the sharpest move in the latest swing, with bitcoin trading in a range of more than $3,000 between its intraday low and high, according to CoinMarketCap. The token fell under the closely watched $80,000 level to $78,909.68 and later traded above $82,000 the same day. (coinmarketcap.com) CoinMarketCap’s daily data also showed the move came after several sessions clustered around the low-$80,000 range. Bitcoin closed at $79,277.11 on May 13, rebounded to $81,051.25 on May 14 and had traded above $82,000 earlier in the week, including a May 10 high of $82,430.17. ### What did the PPI report show? (coinmarketcap.com) The U.S. Bureau of Labor Statistics said on May 13 that the producer price index for final demand rose 1.4% in April from the prior month, the biggest monthly increase since March 2022. The annual increase was 6.0%, the largest 12-month rise since December 2022, the agency said. (coinmarketcap.com) The same BLS release said prices for final demand services rose 1.2% in April and prices for final demand goods increased 2.0%. The index excluding foods, energy and trade services rose 0.6% in the month and 4.4% from a year earlier. ### Where were ether and solana trading? Ethereum closed at $2,280.93 on May 14 after trading as high as $2,317.95 that day, according to CoinMarketCap. (bls.gov) That left ether near the $2,300 level cited by market trackers as crypto markets absorbed the inflation data and the policy headlines. Solana closed at $92.15 on May 14 after reaching $93.58 intraday, following a May 12 close of $94.28. (bls.gov) CoinMarketCap data showed the token had traded in the mid-$90s earlier in the week, broadly matching commentary that placed it around $94 during the latest market moves. ### What do the fund-flow numbers say about positioning? (coinmarketcap.com) CoinShares said on May 11 that digital-asset investment products recorded $857.9 million of inflows in the prior week, the sixth straight positive week. The firm said bitcoin products accounted for $706.1 million, ethereum products for $77.1 million, and solana products for $47.6 million. (coinmarketcap.com) The same CoinShares report said total assets under management rose to $160 billion. James Butterfill, CoinShares’ head of research, wrote that the inflows “likely reflect” improved sentiment around the CLARITY Act after senators released compromise text on stablecoin yield on May 1 and resisted banking-industry pushback on May 4. (coinshares.com) ### What happened with the CLARITY Act? The Senate Banking Committee voted 15-9 on May 15 to advance the Digital Asset Market Clarity Act, according to reports on the committee action. Reuters, carried by AOL, reported before the meeting that the Republican-led panel was set to consider the legislation, while later market coverage said the bill cleared the committee in a bipartisan vote. (coinshares.com) CoinShares had flagged the committee markup as a near-term event in its May 11 report, and traders had been watching the bill alongside the inflation data. The next formal milestone is consideration by the full Senate. (coinshares.com) (aol.com)