BTC price drops as inflation rises, mining machines near shutdown

The price of bitcoin falls as inflation rises, and mining machines are close to being shut down.

The fall of the global cryptocurrency market cap has caused the BTC price to drop again, this time to $25,616.9. First of all, the market cap is now $1.04 trillion, which is a drop of 4.87 percent.

Along with the BTC drop, almost all of the major coins, except for MANA (5.45%), ICP (2.78%), and NEO (5.08%), show a red signal right now. The BTC price drop indicates that the coin could not be sold for a higher price.Also, the price of a coin right now is about the same as it was in the first week of May, when BTC traded between $20,000 and $25,000.

The high inflation rate, which is now at its highest level since 1981, is said to be the main reason for the drop in the crypto market. According to the US Bureau of Labor Statistics, the Consumer Price Index for All Urban Consumers (CPI-U) went up by 1% in May after going up by 0.3% in April. In addition, the all-items index has increased by 8.6 percent in the last year.

Since the inflation rate hit the stock market, it caused the cryptocurrency market to fall. Also, BTC hasn’t yet reached the price of $50,000 that it had in December 2021. By that time, the price of a coin was going down, with small upticks that stayed below $50,000.

As a result, F2Pool said that the BTC price drop caused old mining machines like the Avalon A9 and S11 to move toward shutting down. But popular mining machines like the S19 M30 are still a long way from the cost of shutting down. This shows that some miners aren’t making money on the BTC network right now.

But Ethereum’s price fell to $1,336.6, which is a 7.44 percent drop. This price is the lowest it has been in 18 months. Also, coins like XRP (down 3.13%), SOL (down 9.2%), and DOT (down 6.1%) fell off the edge.

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