[Market Update] Bitcoin slides to the $68,000 range… "Macro caution persists despite upbeat CPI"

The digital asset (cryptocurrency) market is broadly weakening.

As of 4:05 p.m. KST on the 16th, Bitcoin (BTC) was trading at $68,361.31, down 2.81% from the previous day, according to CoinMarketCap.

On Upbit’s KRW market, it was trading at 101,664,000 won, down 0.51% from the previous day.

Major altcoins, including Ethereum (ETH), posted even larger declines. On CoinMarketCap, Ethereum was down 5.64% from the previous day to $1,968.78, while XRP was trading at $1.46, down 7.47%. Solana (SOL) was also down 5% over the past 24 hours to $85.03.

Earlier, Bitcoin briefly reclaimed the $70,000 level over the weekend on the back of a strong U.S. January Consumer Price Index (CPI) reading, but it appears to have failed to hold those gains. U.S. CPI inflation for January came in at 2.4% year on year, easing from December (2.7%). This strengthened expectations that the Federal Reserve could deliver at least two rate cuts this year (25 bp each), prompting a temporary rebound in Bitcoin, though it has not established a clear upward trend.

The market points to limited buying as a key factor behind the weakness. Vikram Subburaj, CEO of Indian regulated exchange Giottus, told CoinDesk, “The broader market appears to be prioritizing a deleveraging trend,” adding, “While the rebound continues, there is no conviction-driven chase buying; instead, selective bargain buying is flowing in only near key support levels.”

This week, minutes from the January Federal Open Market Committee (FOMC) meeting and the release of core Personal Consumption Expenditures (PCE)—the Fed’s preferred inflation gauge—are scheduled. Nexo analyst Desislava Raneva said, “Whether PCE confirms easing inflation will be a key variable for the future policy path.”

Meanwhile, in the FX market, Mark Nash (Jupiter Asset Management), a prominent yen bear, forecast a turn to yen strength and projected an 8–9% appreciation. With the positive correlation between the yen and Bitcoin recently strengthening, whether the yen strengthens could also act as a key catalyst for Bitcoin’s price trajectory going forward, according to analysts.