Bitcoin News Today: Crypto Market Loses $18 Billion as CPI Anticipation Rises

The cryptocurrency market has once again demonstrated its extreme volatility as major value fluctuations emerged amid growing anticipation for the U.S. Consumer Price Index (CPI) report. Over the past 24 hours, the total market capitalization of the crypto space dropped by $18 billion, settling at $3.91 trillion after a sharp downturn from a temporary peak [1]. This follows a brief rally driven by investor activity and heightened anxiety over macroeconomic developments, highlighting the fragile state of market sentiment.

Bitcoin, the largest digital asset by market cap, remained relatively stable, with prices hovering just above $118,933 following a 2.2% increase in a single day [1]. Despite the broader market’s turbulence, Bitcoin’s Relative Strength Index (RSI) remains above neutral territory, suggesting that its current momentum could persist. However, analysts warn that continued profit-taking and increased selling pressure may push prices below $117,261 and potentially toward $115,000, signaling a possible downward correction [1].

Ether also saw notable gains, rising 17.2% over the past week and approaching its all-time high of $4,800 [1]. This performance contrasts with the broader altcoin market, where sharp divergences have emerged. For instance, Fartcoin experienced a dramatic 19% decline in a single day, stabilizing at $0.87 but remaining vulnerable to further downside pressure. Technical analysts have noted that a failure to hold current support levels could intensify selling pressure and send the token toward $0.80 [1].

Other altcoins have shown erratic behavior. A mysterious token referenced by Binance’s Changpeng Zhao surged by 676% in a week but then plummeted by 61% within 24 hours [3]. Another token, OM, rose by an extraordinary 564.55% in a single day, although its long-term performance remains weak, with a cumulative loss of 9,233.64% over the past year [4]. Meanwhile, the Altcoin Index has declined despite Bitcoin’s rally, with Sui falling 4% under heavy selling pressure and long liquidations [5].

Bitcoin’s DVOL metric has also surged, indicating that traders are increasingly bracing for larger price moves in the near term [2]. Analysts have noted that the recent price action could reflect a duality in market dynamics, with intrinsic network-based valuation and speculative forces pulling in opposing directions [8]. This tension may explain the mixed signals observed across the market.

With the U.S. CPI report looming, investors are advised to remain cautious. Experts predict that the data could either push the total market cap above $4 trillion if the report is favorable or potentially shrink it to $3.81 trillion under adverse conditions [1]. As the market remains highly sensitive to macroeconomic signals, traders are urged to closely monitor on-chain activity and upcoming data releases to anticipate further volatility [1].

Source:

[1] BTC Traders Eye $135K, ETH Targets $4.8K as CPI Looms (https://www.coindesk.com/markets/2025/08/12/bitcoin-traders-eye-usd135k-ether-usd4-800-in-crosshairs-as-cpi-looms)

[2] Bitcoin DVOL Surges: Unveiling Crucial Market Insights (https://www.bitget.com/news/detail/12560604906047)

[3] CZ's Mysterious Altcoin Surges 676 in 7 Days Then ... (https://www.ainvest.com/news/cz-mysterious-altcoin-surges-676-7-days-plummets-61-24-hours-2508/)

[4] OM +564.55% in 24 Hours Amid Market Volatility and ... (https://www.ainvest.com/news/om-564-55-24-hours-market-volatility-token-performance-surge-2508/)

[5] Sui Price Falls 4% as Heavy Selling Pressure and Long ... (https://www.coindesk.com/markets/2025/08/11/sui-price-falls-4-as-heavy-selling-pressure-and-long-liquidations-hit-market)