Bitcoin's Modest Rally Cut Short, Price Tumbles Back Below $61K
Bitcoin's price fell sharply during U.S. morning hours on Friday, reversing a climb that had seen the cryptocurrency reach as high as $63,500. The drop was attributed to disappointing U.S. economic data and hawkish remarks from Dallas Fed President Lori Logan. The University of Michigan Consumer Sentiment Survey for May fell to 67.4 from 77.2, missing economist forecasts of 76.0. One-year inflation expectations also rose to 3.5% from 3.2%, against forecasts of 3.2%. Logan expressed uncertainties about whether current Fed policy is sufficiently restrictive and highlighted important upside risks to inflation. The news resulted in a modest increase in the U.S. dollar and bond yields, but had little effect on stocks. Bitcoin's price dropped over 4% from the day's high to $60,700, and was at $61,000 at the time of reporting, a decrease of 0.6% over the past 24 hours. The broader CoinDesk 20 Index increased by 0.15% over the same period.
