Bitcoin slid almost 4% to around $83,770 on March 28 after hotter-than-expected U.S. inflation data reignited pressure on markets. The drop came after the Personal Consumption Expenditures (PCE) Index showed core inflation rising more than forecast. This rekindled fears that the Fed might tighten the screws again—potentially delaying rate cuts or even bringing hikes back on the table.
Core PCE Beats Expectations and Spooks Traders
February’s core PCE came in 0.1% above estimates for both monthly and yearly readings. That added to anxiety already building after January’s figures were revised higher. The Kobeissi Letter posted on X that “core inflation is back on the rise,” warning the setup could be “the perfect recipe for stagflation in 2025.”
Analysts Say Bitcoin Must Hold $84K
Traders reacted fast. Daan Crypto Trades said it was “going to be a volatile day,” while Michaël van de Poppe cautioned, “Drop sub $84K and I think we’ll see a test at $78K–$80K.” Others, like TheKingfisher, said the current action looks more like a cooldown than a true breakdown. Still, if Bitcoin loses $84K, analysts agree a deeper dip could follow—just as the market heads into the tricky spring season.
At the time of writing, Bitcoin is sitting at $83,773.
