Bitcoin Holds Above $83K as PCE Data and Method Changes Cloud Inflation Signal

Bitcoin traded above $83,000 on Thursday after giving back some of the gains it made following the latest US inflation report. The cryptocurrency had briefly rallied on lowerthanexpected PCE data, but analysts said recent methodology changes made the reading harder to interpret. The US Personal Consumption Expenditures price index, the Federal Reserve's preferred inflation gauge, rose 3.4% year over year in August, below expectations. Core PCE came in at 3.0%, and market commentary noted that revisions and methodology updates may have lowered the reported figure by reducing measured inflation in some categories. Market data also showed Bitcoin's rally losing momentum near $85,600, with liquidation clusters forming around $83,000 and key support near $82,500. At the same time, futures open interest fell to its lowest level since March, which some analysts said could make the move less vulnerable to leveraged liquidations.