Bitcoin News Today: BTC Below $90K as Options Market Prices Limited Upside After Fed Cut

Bitcoin (BTC) traded below $90,000 on Monday as traders prepared for key US inflation releases. The crypto market shifted attention to Consumer Price Index (CPI) and Personal Consumption Expenditures (PCE) data after the Federal Reserve’s recent 25-basis-point cut paired with a cautious outlook.

Major altcoins held steady, with Ether near $3,100 while other large tokens moved in narrower ranges. Volumes stayed modest across major crypto exchanges. Market participants reduced risk ahead of a dense macro calendar that also includes retail sales, jobless claims and several Federal Reserve speakers.

Macro Data Drives Rate Expectations and Risk Appetite

With the Fed’s 2025 meetings finished, traders are turning to economic data for direction. CPI and PCE prints will shape rate expectations, which can affect liquidity and appetite for risk assets such as Bitcoin.

Analysts said an upside inflation surprise could keep restrictive policy expectations in place. Softer inflation data could support risk-taking into late December. However, positioning suggests investors prefer caution while the market waits for clearer signals.

Bitcoin Options Market Prices Limited Upside After the Fed

Derivatives data pointed to a more defensive stance after the Fed decision. Analytics from Glassnode showed implied volatility (IV) compressed across short and mid-term expiries, which indicates traders expect smaller near-term moves in BTC price.

At the same time, options markets continued to price downside protection. Flow signals suggested traders expected range-bound conditions and ongoing sensitivity to macro releases instead of new policy catalysts.

Some traders also monitored global central bank policy. Market commentary highlighted upcoming federal decisions as a potential volatility trigger for broader risk markets. Traders often watch currency moves because they can affect global leverage and funding costs.

On-Chain Flows and Mining Metrics Signal Easing Internal Pressure

Liquidations cleared leveraged long positions over the past day, according to CoinGlass data cited by analysts. The reset reduced speculative leverage, yet it did not produce a strong rebound in spot buying.

The Bitcoin network hashrate fell about 8% after reports of mining shutdowns in China’s Xinjiang region. A hashrate drop can raise short-term uncertainty, but it can also reduce near-term supply pressure if miners sell less BTC to cover costs.

Exchange flow data also showed fewer large deposits. CryptoQuant tracked “wholecoiner” transfers to Binance and found the metric near levels last seen in 2018. Moreover, lower inflows can suggest reduced intent to sell among holders moving more than 1 BTC.

Additionally, banks and researchers adjusted projections in response to slower inflows and shifting demand. Standard Chartered cut its end-2025 Bitcoin price forecast after signs of softer inflows. The bank still maintained a higher long-term target for BTC. Analysts tied the revision to uneven corporate treasury interest and slower spot Bitcoin ETF demand.

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