Bitcoin wilts as Fed rate uncertainty weighs. Kospi plunges 8% — SkimNews
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- Bitcoin fell below $81,000, dipping close to $80,000 in early Asian trading before briefly rebounding to ~$81,500 and stalling—down more than 2% in 24 hours, per CoinDesk data.
- September CPI rose 3.7% year-over-year (up from 3.4% in August), while core CPI climbed to 2.6% (up from 2.4%), reviving concerns the Fed could raise rates at its October meeting.
- Polymarket and CME FedWatch briefly priced October rate hike odds at nearly 50% and ~47% respectively after the CPI release, before retreating to ~30% and 26%; CME Fed funds futures still price a 70%+ probability the Fed holds steady.
- U.S. spot Bitcoin ETFs recorded $150.5 million in outflows on October 14, reversing the prior day's $175.7 million inflow, according to Giottus CEO Vikram Subburaj.
- South Korea's KOSPI plunged 8% and triggered circuit breakers, while Nasdaq futures fell 1%, extending Wednesday's 2% decline as risk-off sentiment spread across asset classes.
- STS Digital's Anderson warned uncertainty is "damaging liquidity and dampening risk appetite across all asset classes," and flagged that tokens are now "increasingly sensitive to macro factors, with energy shocks, fixed-income volatility and AI valuations weighing on sentiment."
Why it matters: CME futures still price 70%+ odds the Fed holds rates steady this month, yet risk assets dumped anyway—$150.5M in Bitcoin ETF outflows and KOSPI's 8% circuit-breaker crash show traders aren't waiting for the FOMC verdict. The source flags Bitcoin as now tied to energy shocks, fixed-income volatility, and AI valuations—not just rate expectations.
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