PCE Report In Line: Bitcoin Still Drops Below $73K After 1.6% GDP Revision, ETF Selling Pressure

PCE Report In Line: Bitcoin Still Drops Below $73K After 1.6% GDP Revision, ETF Selling Pressure

Bitcoin (BTC) fell below $73,000 on Thursday morning despite personal consumption expenditure (PCE) report coming in line with expectations after first-quarter GDP was revised downward.

Bitcoin’s price fell 2.7% in the last 24 hours to around $72,800 and was the top trending ticker on Stocktwits at the time of writing. Retail sentiment around the apex cryptocurrency dipped to ‘extremely bearish’ from ‘bearish’ territory over the past day, while chatter rose to ‘high’ from ‘normal’ levels.

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The drop came after the Bureau of Economic Analysis (BEA) revised the first quarter (Q1) GDP downward to 1.6%, from its previous estimate of 2%, falling short of Wall Street’s expectations of 2% growth.

This is the second consecutive quarter of GDP growth miss. BEA data showed that the U.S. economy grew at an annualized rate of 0.5% in the fourth quarter (Q4), compared to a Dow Jones forecast of 0.7%.

Meanwhile, the PCE Index, which is the Federal Reserve’s preferred gauge of inflation, rose 3.8% in April, in line with analyst forecasts. The Commerce Department data showed that core PCE, which excludes food and energy, rose 3.3% on an annualized basis in April, up 0.2% on a monthly basis.

The macro economic backdrop amid rising ETF outflows added pressure to the cryptocurrency market.

Get updates to this developing story directly on Stocktwits.

Read also: ‘Trump Dump’ – Nearly $1B Wiped From Crypto Markets As Bitcoin Slips To $73K

Prabhjote Gill has no position in any of the stocks mentioned in this article. StockTwits' news team content is for informational purposes only and is not intended as investment advice. For more, see our editorial policy. This article was originally published on StockTwits.
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