Bitcoin Plunges to $58K Amid US Inflation Fears and Record Liquidations

Bitcoin has hit new lows at $58,000 after high US inflation sent shockwaves through stock markets. The May print of the US Personal Consumption Expenditures (PCE) index came in at a three-year record 4.1%, causing widespread selling.

The Nasdaq 100 plummeted by 2% in just 30 minutes, while Bitcoin's price drop mirrored that seen during the 2022 bear market. The $600 million in crypto liquidations over an hour were one of the largest on record.

Some traders are calling for manipulation behind Bitcoin's decline, with pseudonymous trader Killa saying 'Bitcoin is in the manipulation phase.' Niels Klaver, cofounder of STABL Agency, believes that $55K remains a key target. Meanwhile, Rekt Capital warns that the market is acting similarly to 2022 and sees new resistance near $65,000.