Markets dip after the highs, and hot US inflation data reignites inflation concerns
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📉 PPI spike — Biggest monthly increase in wholesale inflation since June 2022.
💸 BTC and others dip — Bitcoin hit a new all-time high before pulling back.
💎 ETH hangs onto gains — Ethereum still up 18% over the last week.
⚖️ Neutral sentiment — Fear & Greed Index shifts back to neutral.
📊 US stocks flat — S&P 500 and Nasdaq 100 moving sideways.
Bitcoin, and the broader market, has dipped since yesterday as investors digest a new Bitcoin all-time high, a Cardano breakout, and an Ethereum almost-high. While the broader market is down more than 2% overnight, Bitcoin remains in the green over seven days, while Ethereum is up 18% over the same period, reflecting the crypto’s remarkable run over the last few weeks on the back of the ETH treasury narrative gaining momentum among institutional investors. The pullback has pushed the Fear and Greed Index back into Neutral sentiment among investors.
US stock markets are flat this morning in the wake of unexpectedly high Producer Price Index (PPI) data, the biggest monthly increase since June 2022. PPI serves as an indicator of inflation at the wholesale level and is one of the indicators the Fed looks at when considering where to go with interest rates. This ties in with worries about how the Trump administration’s tariff policy could impact inflation. “The fact that PPI was stronger than expected and CPI has been relatively soft suggests that businesses are eating much of the tariff costs instead of passing them onto the consumer,” Clark Geranen, chief market strategist at CalBay Investments, told CNBC. “Businesses may soon start to reverse course and start passing these costs to consumers.” A high PPI means producer costs are rising faster than usual, which can signal building inflation pressure and make the Fed more likely to keep rates high or raise them. Investors will now be tied to the outcome of the 20-21 Fed meeting, which could provide more information about potential future rate cuts.
In the markets…
🌍 Total crypto market cap ↘️
The global crypto market cap is approximately $4.04 trillion, down 2.43% over the past 24 hours.
🟠 Bitcoin (BTC) ↘️
Price: $118,907 down 2.94% in the last 24 h.
Daily high: $121,967
Daily low: $117,574
📈 S&P 500 ↗️
SPY is currently up about 0.03% since yesterday’s close.
📈 Nasdaq 100 ↘️
The Nasdaq 100 is down about 0.07% overnight.
😐 Fear & Greed Index
The Crypto Fear & Greed Index stands at 59/100, in Neutral.
📊 Bitcoin Relative Strength Index (RSI) (14)
The 14-day RSI for BTC is approximately 43, in neutral territory.
Data is correct as at 15 August, 07:44 GMT.
Cautionary Notes
It's definitely tempting to get swept up in the excitement, but please heed these words of caution: Do your own research, only invest what you can afford, and make good decisions. The indicators contained in this article will hopefully help in this. Remember though, the content of this article is for information purposes only and is not investment advice or any form of recommendation or invitation. The Digital Commonwealth always advises you to obtain your own independent financial advice before investing or trading in cryptocurrency.
