US Inflation Data Is Bullish, So Why Did Bitcoin and Stocks Dump?
The post US Inflation Data Is Bullish, So Why Did Bitcoin and Stocks Dump? appeared on BitcoinEthereumNews.com.
US inflation delivered its biggest downside surprise in months. Yet instead of a sustained rally, both Bitcoin and US equities sold off sharply during US trading hours. The price action puzzled many traders, but the charts point to a familiar explanation rooted in market structure, positioning, and liquidity rather than macro fundamentals. What Happened After the US CPI Release Headline CPI slowed to 2.7% year over year in November, well below the 3.1% forecast. Core CPI also undershot expectations at 2.6%. Sponsored Sponsored On paper, this was one of the most risk-positive inflation prints of 2025. Markets initially reacted as expected. Bitcoin jumped toward the $89,000 area, while the S&P 500 spiked higher shortly after the data hit. That rally did not last. Bitcoin Price Briefly Rallies and Dumps After US CPI Data. Source: CoinGecko Within roughly 30 minutes of the CPI print, Bitcoin reversed sharply. After tagging intraday highs near $89,200, BTC sold off aggressively, sliding toward the $85,000 area. The S&P 500 followed a similar path, with sharp intraday swings that erased much of the initial CPI-driven gains before stabilizing. S&P 500 Sharply Drops and then Spikes After US CPI. Source: X/Kobeissi Letter This synchronized reversal across crypto and equities matters. It signals that the move was not asset-specific or sentiment-driven. It was structural. Bitcoin Taker Sell Volume Tells the Story The clearest clue comes from Bitcoin’s taker sell volume data. Sponsored Sponsored On the intraday chart, large spikes in taker sell volume appeared precisely as Bitcoin broke lower. Taker sells reflect market orders hitting the bid — aggressive selling, not passive profit-taking. These spikes clustered during US market hours and coincided with the fastest part of the decline. Bitcoin Taker Volume Across All Exchanges On December 18. Source: CryptoQuant The weekly view reinforces this pattern. Similar sell-side…
Filed under: News - @ December 18, 2025 10:28 pm