Bitcoin brushed off a hotter-than-expected inflation report, recovering to $81,200 after dipping to $79,800 Tuesday. The April CPI came in at 3.8% year-over-year, above estimates, fueled by rising gasoline prices tied to the Iran war. BTC traded a $1,400 range and ended the session up 0.3%.
BNB led major altcoins with a 2.5% gain to $677, while dogecoin added 1.3% to $0.1114. Ether slipped 0.3% to $2,300, down 3.2% on the week, making it the laggard. Solana fell 0.6% to $95.52, and XRP traded at $1.45, down 0.5%.
Traditional markets felt more pain: the S&P 500 fell 0.2%, and the Nasdaq 100 dropped 0.9%, with semiconductor stocks hit hardest. The two-year Treasury yield held just under 4%, while Japan's 20-year bond yield hit its highest since 1997 as energy prices stoke global inflation.
Crypto fund flows remain strong. CoinShares reported $858 million in inflows last week, led by bitcoin products at $706 million. Notably, $14 million exited bitcoin short positions-the largest weekly short unwind of 2026, signaling bearish bets are fading.
FxPro's Alex Kuptsikevich noted bitcoin lost momentum near its 200-day moving average but called the pullback "a breather following a rally." He added that market sentiment remains slightly bearish.
Regulatory progress is also helping. The CLARITY Act's compromise on stablecoin yield treatment is expected to advance in the Senate Banking Committee next week, providing a tailwind amid geopolitical uncertainty.
For now, bitcoin holding $81,000 after a hot CPI and tight Treasury yields suggests structural buyers remain active. The next test comes with the Senate markup and upcoming macro data.