Bitcoin falls to about $73,500, lowest since August, ahead of US inflation data
In brief
- Bitcoin fell to about $73,500 late Sunday, its lowest level since August.
- CoinGlass counted about $1.12 billion in leveraged crypto liquidations over 24 hours.
- BTC traded below its 50-week SMA and CryptoQuant's $75,691 short-term holder cost basis.
- Nvidia's board launched an independent probe into reports about CEO Jensen Huang; China denied spying claims.
- October CPI lands Tuesday and PPI Friday, both at 8:30 am ET.
Bitcoin slipped below $74,000 shortly before Sunday's weekly close, extending the prior week's losses, according to TradingView data. It's the lowest print since August.
Bitcoin loses key averages and cost-basis levels
BTC fell below its 50-week simple moving average of $75,492 and approached its 21-week SMA of $73,078. It also traded below the short-term holder cost basis, which CryptoQuant put at $75,691 on Monday (the metric estimates the average cost basis of coins that last moved less than 155 days earlier).
A CryptoQuant community analyst put the cost basis for coins that last moved one to three months earlier at about $79,300. The analyst said that level could act as resistance if recent buyers sold at break-even.
Trader Rekt Capital said Sunday that selling volume would need to rise before sellers showed signs of exhaustion.
“Seller Exhaustion tends to happen exactly at or very close to a Bitcoin price bottom,” Rekt Capital wrote on X.
Nvidia probe adds to a jittery tech backdrop
Nvidia's board said Sunday it had launched an independent investigation into reports that CEO Jensen Huang was targeted by a foreign intelligence effort. The board said it had no reason to believe US national security or company secrets had been compromised, and China's foreign ministry denied the spying allegations on Monday.
The probe followed the prior week's tech sell-off, when investors weighed the outlook for AI spending and potential changes to US regulation after the midterm elections. Economist Mohamed El-Erian called the timing "unfortunate" in a blog post, given Nvidia's importance to the tech sector and the wider market.
Nasdaq 100 futures fell Monday, recovered, then turned lower again ahead of the US open (S&P 500 and Dow futures were still up). In Asia, South Korea's benchmark Kospi closed down 0.8% at 5,018.85 on Monday, after the exchange briefly halted trading Friday when the index fell more than 8% shortly after the open. Vice Minister of Science and ICT Ryu Jemyung told a parliamentary budget committee he expected contracted Nvidia chip deliveries to stay on schedule.
CPI and PPI land this week
The US Bureau of Labor Statistics is scheduled to release October's CPI on Tuesday and PPI on Friday, with both reports due at 8:30 am ET. Consumer prices rose 3.7% from a year earlier in September. Gasoline was the big driver: prices rose 9.1% from August and accounted for more than half of the monthly increase.
That's two inflation prints in four days.
Frequently asked questions
What is Bitcoin's short-term holder cost basis?
It's a CryptoQuant metric estimating the average cost basis of coins that last moved less than 155 days earlier. CryptoQuant put it at $75,691 on Monday, and Bitcoin traded below that level.
When are the October CPI and PPI reports released?
The US Bureau of Labor Statistics was scheduled to release October's CPI on Tuesday and PPI on Friday, both at 8:30 am ET. September consumer prices rose 3.7% from a year earlier.
