Bitcoin Falls And Trump Calls Jerome Powell 'An Idiot'

Another inflation indicator, the Producer Price Index (PPI), fell below expectations in May, prompting the president to criticize Jerome Powell, as the price of bitcoin dropped by about 1%. Trump Mocks Jerome Powell as Bitcoin Falls "We will spend 600 billion dollars a year for a fool." That was the statement of U.S. President Donald Trump on Thursday as he targeted Federal Reserve Chairman Jerome Powell for not cutting interest rates even as many economic indicators unexpectedly showed inflation cooling. Bitcoin fell slightly after this news and the stock market wobbled. The Producer Price Index (PPI) measures inflation at the wholesale or trade level and is widely regarded as a leading indicator compared to the Consumer Price Index (CPI), which measures inflation for consumers. The U.S. Bureau of Labor Statistics released its PPI data on Thursday, showing wholesale inflation increased by 0.1% in May, lower than the 0.3% increase that economists had expected.

Good news cannot lift the bitcoin price, which is stagnant at around $108,000, but Trump has used this data as a weapon against Powell, who has become the target of the president's fury for a while. Trump has previously threatened to fire Powell for not cutting interest rates, something many consider unconstitutional. The Fed will meet again on June 17 and 18 for the scheduled meeting to determine the direction of the country's interest rates. "We have controlled inflation," Trump said. "If we cut interest rates by one point... we will save $300 billion," he added, referring to the amount the federal government would save in interest payments on outstanding debt if rates were lower. "If we cut by two points, we will save... $600 billion." The president made this statement at the White House, where he signed the bill to end California's electric vehicle ban (EV).

Bitcoin fell 1.09% in 24 hours to a trading level of $108,272.00 at the time of reporting. Despite the decline, BTC still increased by 4.66% over the week. Price volatility remains relatively limited within the 24-hour range of $106,611.47 to $109,203.62.

Trading activity has increased slightly, with a 24-hour trading volume up 4.35% to $53.46 billion. The total market capitalization of Bitcoin has decreased in value, currently at $2.15 trillion, down 1.09% from yesterday. However, BTC's dominance has risen to 64.16%, up 0.07%, which may be due to investors leaving volatile altcoins and returning to this dominant cryptocurrency.

In the derivatives market, the open futures contracts fell 2.51% to $73.81 billion, reflecting a slightly more cautious stance from traders. Liquidations paint a different picture, with nearly the entire $3 million liquidation coming from short positions and only $1,290 from long liquidations, according to Coinglass. In summary, short sellers are betting against BTC and are being wiped out.