Bitcoin tumbled back toward $65,000 Friday after investors reduced risk following the release of stronger-than-expected inflation data that damped expectations for near-term Federal Reserve rate cuts.
The largest cryptocurrency fell more than 3.5% to $65,674 in early morning New York trading, before reversing some of the decline. Bitcoin has swung widely this week. On Wednesday, the token climbed toward $70,000 for the first time since Feb. 16, buoyed by a broad rebound in risk assets. It has since erased most of those gains.