Rising US Inflation Expectations Weigh on Bitcoin Ahead of Federal Reserve Meeting

Bitcoin faces mounting pressure near the $80,000 level as elevated U.S. inflation expectations threaten to delay Federal Reserve interest rate cuts. The University of Michigan's final October survey revealed that one-year household inflation expectations rose for a second consecutive month to 4.7%, the highest level since May, up from 4.6% in September. Five-to-ten-year inflation expectations also edged higher to 3.5% from 3.4%. Concurrently, headline consumer sentiment remained depressed at 48.0, with Current Economic Conditions dropping to 46.7 and durable goods buying conditions falling 18%, creating potential stagflationary headwinds for cryptocurrency valuations.