The post Here’s why BTC, SHIB, DOGE, ADA prices slipped after U.S. PCE data appeared on BitcoinEthereumNews.com.

The crypto market remained on edge on Friday after the U.S. released the Federal Reserve’s preferred inflation metric. Bitcoin (BTC) price dropped below $85,000, while popular tokens like Shiba Inu (SHIB), Dogecoin (DOGE), and Cardano (ADA) fell by over 3%. The total market cap of all cryptocurrencies tracked by CMC dropped by 2.6% to $2.76 trillion. A report from the Bureau of Economic Analysis showed that the core personal consumption expenditures (known as the PCE) index rose from 2.7% in January to 2.8% in February, exceeding the median estimate. On a monthly basis, the core PCE rose from 0.3% to 0.4%. The headline PCE remained at 2.5% year-over-year and 0.3% month-over-month, signaling that inflation remains a persistent challenge in the U.S. economy, still above the Fed’s long-term target of 2.0%. Fed actions could hit BTC, SHIB, DOGE, ADA, and altcoin prices The PCE is a closely-watched inflation gauge because, unlike the consumer price index, it includes data from urban and rural areas. Analysts expect both CPI and PCE to trend higher following Donald Trump’s tariff policies. He has already raised steel and aluminum tariffs by 25%, and this week added a 25% tariff on all imported vehicles. While Trump has pledged to fight inflation, he reportedly acknowledged that his tariffs would have inflationary effects. According to the Wall Street Journal, he has privately urged automakers not to raise prices, though they have pushed back, citing higher operational costs due to tariffs. Rising inflation could negatively impact Bitcoin and altcoins like SHIB, DOGE, and ADA. Higher inflation may force the Fed to hold interest rates higher for longer, as cutting rates too early could further fuel price pressures. There will be lots of interest in this morning’s US economic data.This is particularly true for the extent of the rise in February’s…

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Filed under: News - @ March 28, 2025 2:22 pm