Bitcoin Drops to Nearly $19K as Fed Renews Inflation Warnings

Bitcoin neared the $19,000 level after central bankers renewed inflation warnings on Wednesday at the European Central Bank’s (ECB) annual forum. By shauryamalwa

Central bank leaders warned Wednesday that inflation is going to last longer than some people anticipated.

Bitcoin fell toward the $19,000 level in Asian afternoon hours after central bankers renewed inflation warnings at the European Central Bank’s (ECB) annual forum on Wednesday.The asset dropped 5.5% in the past 24 hours, and is on track for a record 40% monthly decline. Other large cryptocurrencies also weakened, with ether notching a 9.9% 24-hour drop and Solana’s SOL falling as much as 11%. Total cryptocurrency market capitalization lost 4.3%.

Bitcoin dropped below support at $20,000 amid renewed inflation concerns. (TradingView)Federal Reserve Chairman Jerome Powell reiterated the Fed‘s commitment to increasing interest rates to curtail inflation. Speaking at the ECB meeting, he said he was more concerned about the challenge posed by inflation than the possibility of higher interest rates pushing the U.S. economy into a recession.

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