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Bitcoin (BTC) regained $24,000 but failed to hit new multi-month highs on Aug. 10 as United States inflation appeared to be slowing.

CPI cuts risk assets much-needed slack

Data from Cointelegraph Markets Pro and TradingView confirmed hourly gains of around $1,000 after U.S. Consumer Price Index (CPI) data for July showed a slowdown versus the previous month.

While managing $24,179 on Bitstamp, BTC/USD nonetheless did not attract enough momentum to challenge levels from the day prior.

Nonetheless, relief among traders was palpable, as declining inflation should signal to the Federal Reserve that less aggressive interest rate hikes are necessary going forward. This should in turn reduce pressure on risk assets, including crypto.

Year-on-year CPI inflation came in at 8.5%, 0.2% below expectations, while month-on-month, the figure was unchanged from June.

Bitcoin (BTC) regained $24,000 but failed to hit new multi-month highs on Aug. 10 as United States inflation appeared to be slowing.

CPI cuts risk assets much-needed slack

Data from Cointelegraph Markets Pro and TradingView confirmed hourly gains of around $1,000 after U.S. Consumer Price Index (CPI) data for July showed a slowdown versus the previous month.

While managing $24,179 on Bitstamp, BTC/USD nonetheless did not attract enough momentum to challenge levels from the day prior.

Nonetheless, relief among traders was palpable, as declining inflation should signal to the Federal Reserve that less aggressive interest rate hikes are necessary going forward. This,  in turn, should reduce pressure on risk assets, including crypto.

Year-on-year CPI inflation came in at 8.5%, 0.2% below expectations, while month-on-month, the figure was unchanged from June.

Tornado Cash (TORN) has lost almost half its market valuation two days after being slapped with sanctions by the U.S. Treasury Department.

The department accused Tornado Cash, a crypto mixer platform, of laundering more than $7 billion in cryptocurrencies, including a stash of $455 million allegedly stolen by North Korea-based hackers.

Immediate reactions were followed by U.S.-based crypto companies, including Circle and Coinbase. In a controversial move, the popular crypto firms blocked the movements of their jointly-issued stablecoin USDC tied to Tornado Cash's blacklisted smart contracts.

TORN price drops 45%

The news prompted traders to limit their exposure to TORN, Tornado Cash's native token.

On the daily chart, TORN's price has slipped by approximately 45% since the Justice Department's notice about Tornado Cash, to reach $18.50 on Aug. 10. By contrast, the valuation of all the crypto assets had plunged merely 6% in the same timeframe.  

Tornado Cash (TORN) has lost almost half its market valuation two days after being slapped with sanctions by the U.S. Treasury Department.

The department accused Tornado Cash, a crypto mixer platform, of laundering more than $7 billion in cryptocurrencies, including a stash of $455 million allegedly stolen by North Korea-based hackers.

Immediate reactions were followed by U.S.-based crypto companies, including Circle and Coinbase. In a controversial move, the popular crypto firms blocked the movements of their jointly-issued stablecoin USDC tied to Tornado Cash's blacklisted smart contracts.

TORN price drops 45%

The news prompted traders to limit their exposure to TORN, Tornado Cash's native token.

On the daily chart, TORN's price has slipped by approximately 45% since the Justice Department's notice about Tornado Cash, to reach $18.50 on Aug. 10. By contrast, the valuation of all the crypto assets had plunged merely 6% in the same timeframe.  

The Celsius (CEL) community has rallied on Twitter once again to fight off short positions against their favored crypto token despite multiple challenges faced by the exchange, including bankruptcy and rumors of the company’s CEO fleeing from the United States.

Thousands of tweets with the #CelShortSqueeze tag have been posted on the social media platform, advertising their long positions on CEL while encouraging others to do the same and post more content about the short squeeze. According to Twitter user Anakinsdad, the community is “at war with the shorts.” Another user posted:

Short-selling is a strategy that lets investors earn from the decline of a token or a share. It involves borrowing shares and immediately selling to purchase at a lower price later. On the other hand, a short squeeze happens when opposing investors start to mass purchase a shorted asset, and instead of the prices falling, it pumps up, leading to losses for short sellers.

This is not the first time that the Celsius community made an effort to perform a short squeeze on CEL. Back in June, community members who refer to themselves as “Celsians” brewed an unofficial recovery plan to force CEL short-sellers to take out their positions by driving the token's price upwards.

Related: Celsius vows to return from bankruptcy but expert fears repeat of Mt. Gox

Bitcoin (BTC) hit multi-day lows into Aug. 10 as crypto traders braced for impact with fresh United States inflation data. 

Trader: Market "could get ugly" if CPI keeps rising

Data from Cointelegraph Markets Pro and TradingView showed BTC/USD dipping to $22,668 on Bitstamp at the most recent daily close — its lowest since Aug. 5.

Bullish momentum had evaporated during the day prior, and the mood among traders was firmly risk-off as markets awaited the latest Consumer Price Index (CPI) readout.

Covering July, the data was due at 8.30am Eastern time Aug. 10, with expectations demanding it show that U.S. inflation had already peaked.

“CPI prints have been pretty pitoval for BTC price action,” Blockware lead insights analyst William Clemente wrote in part of a tweet about the event, adding that CPI would form a “big day” for crypto.