September Rate Cut Now Imminent After Shock Inflation Data as Bitcoin Eyes 150K

￰2￱ inflation unexpectedly declined in August, setting the stage for a Federal Reserve rate cut next week and sending Bitcoin higher as traders bet on looser monetary ￰3￱ Producer Price Index (PPI) for final demand slipped 0.1% in August, the first monthly drop in four months, following a downwardly revised 0.7% increase in July, according to data released Wednesday by the Bureau of Labor ￰4￱ PPI, Fragile Jobs Market Put Fed Under Pressure Ahead of Key Meeting Economists had forecast a 0.3% ￰5￱ an annual basis, the PPI rose 2.6%, well below the 3.3% expected and down from July’s 3.1%. Core PPI, which strips out volatile food, energy, and trade services, also ￰6￱ increased 2.8% year-on-year, compared with the 3.5% expected, while the monthly measure edged down 0.1%.

JUST IN: US PPI comes in at 2.6%, lower than the expected 3.3% Core PPI is 2.8% vs the expected 3.5% September rate cut inbound. ￰0￱ — CryptosRus (@CryptosR_Us) September 10, 2025 The decline was driven by a 0.2% fall in services prices, the steepest since April, while goods prices inched higher by 0.1%. The weaker-than-expected inflation print reinforced market expectations that the Federal Reserve will cut interest rates when it meets next ￰7￱ markets are fully pricing in a quarter-point cut, with growing speculation that policymakers could opt for a larger 50-basis-point ￰8￱ central bank paused its easing cycle in January amid uncertainty over the impact of President Donald Trump’s tariffs, but softening inflation and a weakening labor market have shifted the balance toward renewed ￰9￱ labor market has shown clear signs of ￰10￱ revisions published this week estimated the economy created 911,000 fewer jobs in the year through March than previously ￰11￱ August jobs report showed employment growth had nearly stalled, with job losses recorded in June for the first time in more than four ￰12￱ Trump has continued to pressure the Fed for aggressive ￰13￱ a post on Wednesday, he declared, “JUST OUT: NO INFLATION!!!

TOO ￰14￱ LOWER THE RATE, BIG, RIGHT ￰15￱ IS A TOTAL DISASTER, WHO DOESN’T HAVE A CLUE!!!” NEW: TRUMP SAYS “JUST OUT: NO INFLATION!!! “TOO LATE” MUST LOWER THE RATE, BIG, RIGHT ￰16￱ IS A TOTAL DISASTER, WHO DOESN’T HAVE A CLUE!!! PRESIDENT DJT” ￰17￱ — DEGEN NEWS (@DegenerateNews) September 10, 2025 Financial markets responded swiftly to the inflation ￰18￱ surged past the $113,000 mark following the data release, extending gains from an intraday low of $110,700.), due Thursday, which will provide the final major data point before the Fed’s policy ￰19￱ combination of easing inflation pressures and labor market fragility is expected to weigh heavily on ￰20￱ Chair Jerome Powell has already signaled that risks to employment may outweigh inflation concerns, suggesting the central bank is preparing to ￰21￱ FedWatch Shows 88% Odds of September Cut Federal Reserve Chair Jerome Powell said a quarter-point rate cut in September is “highly likely,” offering the clearest sign yet of near-term ￰22￱ at the Jackson Hole symposium on August 22, Powell acknowledged cooling inflation but warned against assuming a rapid series of cuts, stressing that policy remains “data-dependent.” Bitcoin slid under $113K, dragging the crypto market 1.5% lower to $3.9 trillion as traders booked profits ahead of Powell’s Jackson Hole speech. #bitcoin #JacksonHole ￰1￱ — ￰23￱ (@cryptonews) August 20, 2025 He pointed to risks from tariff-driven price pressures and weakening labor market ￰24￱ payrolls rose by just 73,000, with earlier figures revised lower, underscoring the Fed’s balancing act between inflation control and economic ￰25￱ reacted with ￰26￱ pared early gains, and crypto assets swung in volatile trade as investors weighed the prospect of easing against the possibility of slower liquidity ￰27￱ CME FedWatch Tool now shows an 88% probability of a 25-basis-point cut at the September 17 meeting, with major banks including Morgan Stanley and Barclays revising forecasts to reflect imminent ￰28￱ Secretary Scott Bessent last month urged a steeper 50-basis-point move after inflation data showed core CPI cooling to 3.1% ￰29￱ markets are positioning for extended ￰30￱ climbed above $113,000 this week, with traders eyeing a potential run toward $150,000 if liquidity ￰31￱ CEO Kris Marszalek told Bloomberg he expects a strong fourth quarter for digital assets if easing begins, citing improved liquidity and institutional ￰32￱ Accumulation Hits Record as Futures Market Weakens Bitcoin long-term holders are stepping up their activity even as futures market dynamics signal ￰33￱ to CryptoQuant, “accumulator addresses,” wallets that buy Bitcoin but never sell, now hold a record 266,000 BTC as of September 5.) September 10, 2025 Sustaining above this level could push the price toward $117,600, the point of control.

Conversely, failure to hold $111,950 (Value Area Low) may accelerate declines toward $107,250. For now, the market is balanced between strong accumulation and fading speculative activity. A decisive move above $114,000 could confirm short-term strength, while a breakdown below $111,950 would shift sentiment bearish. Bitcoin’s mid-term outlook hinges on whether long-term holders’ conviction can outweigh weakening futures dynamics.