Bitcoin price today: fell to $109000 due to strong inflation data; Monthly decline will be recorded

Investing. com - Bitcoin fell to around $109000 after key US inflation data was released, despite market expectations that the Federal Reserve will cut interest rates next month and concerns about central bank independence still exist.
As of 10:06 Eastern Time (22:06 Beijing Time), the world's largest cryptocurrency has recently fallen 3.8% to $109070.0.
Earlier this week, Bitcoin fell to a seven week low below $109000, but has since rebounded slightly.
Despite this, Bitcoin has fallen more than 10% from its historical high of over $124000 set in August and will record its first monthly decline since April.
The token is expected to decline by about 6% in August, having risen for four consecutive months.
Core PCE inflation reaches highest level since February
Inflation in the United States rose in July, and the Federal Reserve's preferred measure shows that tariffs are affecting the overall economy.
The US Department of Commerce announced on Friday that the core personal consumption expenditure (PCE) index, excluding food and energy, rose at an annual rate of 2.9%, the highest since February and slightly higher than June.
On a monthly basis, core prices rose by 0.3%, while broader indices rose by 0.2%, a year-on-year increase of 2.6% - both in line with expectations.
The Federal Reserve believes that core PCE is the best indicator for measuring underlying inflation.
The market still expects decision-makers to cut interest rates again at next month's meeting. Federal Reserve Governor Christopher Waller said on Thursday that if labor data weakens further, he will consider a larger rate cut.
Expectations of interest rate cuts typically boost speculative assets such as cryptocurrencies, but Donald Trump's attempt to hire Federal Reserve Governor Lisa Cook earlier this week has dampened risk appetite.
Cook refused to resign and filed a lawsuit to challenge this move, stating that her dismissal would weaken the independence of the Federal Reserve. This rare conflict has made investors uneasy about political influence on monetary policy.
Although some investors promote Bitcoin as a hedging tool, it often comes under pressure during periods of heightened macroeconomic and political uncertainty.
Trump's son supports American Bitcoin plan to go public on NASDAQ in September
According to Reuters, American Bitcoin, a Bitcoin mining company supported by Donald Trump's son Eric and Donald Jr., plans to start trading on NASDAQ in early September 2025 through a reverse merger with Gryphon Digital Mining.
According to reports, Trump's son and the company's largest investor Hut 8 jointly control approximately 98% of the company's shares.
Cryptocurrency prices today: altcoins fall synchronously with Bitcoin
On Friday, altcoins generally fell, following the downward trend of the world's largest cryptocurrency.
The world's second-largest cryptocurrency, Ethereum, fell more than 6% to $4292.43.
The world's third-largest cryptocurrency XRP fell 5.5% to $2.84.
Solana fell 1.4% to $208.61.
Cardano fell more than 5%, while Polygon rose slightly.
Among the meme tokens, Dogecoin fell 4.4%, while $TRUMP fell 3%.
Ayushman Ojha contributed to this report. )
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