Bitcoin fell below $78,000 after the latest US inflation data came in above expectations, putting pressure on cryptocurrencies, stocks and gold.

Axar.az reports, citing TradingView, that the US Personal Consumption Expenditures (PCE) price index, the Federal Reserve’s preferred inflation gauge, rose 3.7% year-on-year in July, exceeding the 3.6% forecast.

Core PCE, which excludes food and energy, increased 0.2% from the previous month and stood at 3.3% annually.

Bitcoin had climbed above $81,000 earlier in the week but reversed after the inflation figures were released. US stocks also opened lower, while gold fell below $4,600 an ounce.

Markets are now watching Nvidia’s quarterly earnings report for another potential source of volatility, as well as Federal Reserve Chair Kevin Warsh’s upcoming remarks at the Jackson Hole economic symposium.

Analysts have also warned that Bitcoin’s recent surge may not yet signal a sustained recovery. Rekt Capital said the cryptocurrency needs to break its pattern of lower highs and reclaim key technical levels to avoid the latest gains being classified as a temporary “relief rally.”