September producer price inflation came in at 6.3% against a 5.3% forecast, while core PPI reached 5.0% where 4.4% was expected. Both missed by a wide margin, and the headline reading now sits at its second highest level since November 2022. AI predicts Bitcoin finds support between $80,660 and $74,340 rather than below it. Why?
Because the fund flow data behind this move shows steady pressure rather than the kind of exodus that usually accompanies a structural break.
Bitcoin lost the level that had held through the entire October decline. BTC trades at $80,306, down 3.05% over 24 hours, with market cap at $1.61 trillion and volume up 42.27% to $39.94 billion.
Why Producer Prices Hit Harder Than Yesterday’s CPI
The difference lies both in the size of the miss and in what each measure is telling you. Yesterday’s CPI came in 0.1 percentage points above forecast on the headline and core readings, close enough that economists would call it broadly in line. Today’s PPI missed by a full point on the headline and 0.6 points on core, which is a different category of surprise.
The second difference matters more for the months ahead. Producer prices measure what companies pay for inputs before anything reaches a shop shelf, so they tend to lead consumer inflation rather than confirm it. A large upside surprise here suggests the pressure in yesterday’s report has further to run.
Rate hike expectations moved sharply as a result, and a four year high in producer prices gives the Federal Reserve reason to keep an increase on the table on October 29. Higher expected rates raise the return on cash, which reduces the appetite for an asset that produces no yield of its own.
Spot Bitcoin ETFs recorded $261.4 million in net outflows on October 14, with BlackRock’s IBIT losing $110.9 million and Fidelity’s FBTC losing $152.7 million.
Bitcoin ETFs Flows
That figure needs context before it reads as capitulation. Average daily flow since launch has been a positive $82.4 million, so this is roughly three times a typical session running in reverse. The worst day on record is minus $1,113.7 million, and Tuesday was positive at $175.7 million, so the week has alternated rather than emptied out.
Cumulative net inflows still stand at $57.027 billion.
AI Predicts Bitcoin Levels: The Floor Has Been Lost
BTCUSDT Chart 1D
Bitcoin had defended $80,660.9 through every test since late September, including the drop to $80,400 on October 8. Price now sits beneath it, which removes the level that defined this consolidation.
AI Predicts Bitcoin will be decided at these levels:
- The lost floor: $80,660. Support for three weeks and now resistance. Reclaiming it quickly would frame today as a reaction to data rather than a trend change.
- The next real support: $74,340. The level that held through the summer, and the first area beneath with meaningful history.
- The ceiling: $87,145. Rejected repeatedly since late September, and the level that must clear before the wider range resumes.
Volume argues for caution, since turnover rose more than 40% while price fell 3%, which points to active selling rather than a drift. The question now is whether $80,660 rejects from above, because a level that flips from support to resistance is usually tested within days.
