Relay_Station / Zone_39
MARKET
13.05.2026
Bitcoin Plunges Below $80,000 After Hot PPI Report Triggers $275M Liquidations
Today’s Producer Price Index for April, released at 8:30 a.m. ET, indicated that wholesale cost pressures are intensifying, a leading indicator suggesting consumer prices may remain elevated. This macroeconomic signal immediately impacted risk assets, including cryptocurrencies, which have shown increasing correlation with traditional financial markets and liquidity conditions. The CPI data for April had already come in above expectations earlier in the week, further fueling inflation concerns.
In the derivatives market, the price action sparked a significant deleveraging event. Over the past 24 hours, total crypto liquidations surged to an astonishing $275 million, with long positions bearing the brunt of the volatility. Approximately 80% of these liquidations, totaling around $222 million, were from long bets, demonstrating the market's vulnerability to sudden downside moves. Bitcoin alone accounted for over $82 million in liquidations.
Adding to the downward pressure were substantial outflows from spot Bitcoin exchange-traded funds (ETFs). Yesterday, May 12, these ETFs recorded net outflows of $233 million, reflecting a more cautious risk-hedging approach from institutional investors. Fidelity's FBTC product experienced the largest single outflow, shedding $86.1294 million. Ethereum spot ETFs also faced considerable pressure, with single-day net outflows reaching $131 million, primarily led by BlackRock's ETHA.
This broad withdrawal of capital across both Bitcoin and Ethereum ETFs directly triggered a large chain reaction within the derivatives sector. The sustained institutional selling, particularly from vehicles once seen as pure catalysts for upward momentum, underscored a shifting sentiment as macro uncertainty persists. Amid these developments, the Crypto Fear & Greed Index sharply declined from 49 (Neutral) to 42 (Fear) today, reflecting growing unease among retail and institutional participants alike.
The broader macro environment continued to contribute to the cautious mood. U.S. Treasury yields moved higher following the inflation release, while the U.S. dollar strengthened, further pressuring speculative assets. The Senate also confirmed Kevin Warsh as Federal Reserve Governor today, a transition that could signal a more hawkish stance on inflation depending on his initial remarks. This Fed chair change, the first since early 2018, lands amid a contested rate path debate, creating additional uncertainty for markets.
Meanwhile, the proposed CLARITY Act, a critical piece of U.S. crypto market structure legislation, faces a key Senate Banking Committee markup tomorrow, May 14. The outcome of this vote, particularly regarding stablecoin yield compromises and definitions for digital assets, remains highly uncertain after recent pushback from the banking lobby. Analysts are closely watching whether Bitcoin can reclaim the $82,000 resistance zone to signal a potential recovery, or if the current macro headwinds will deepen the corrective phase. Will impending regulatory clarity offer a reprieve, or will the weight of inflation and institutional caution continue to dictate market trajectory?
Signals elevate this to HOT_INTEL priority.
// Related_Intel
More_Signals
‹ Return_to_Terminal
Traffic_Nodes
5
Mobile_Relay / Zone_37