Bitcoin briefly dips below $80,000 on hotter US inflation and cautious crypto sentiment.

Bitcoin's price briefly fell below $80,000, hitting a low near $79,802, following hotter-than-expected US inflation data that raised concerns about prolonged Federal Reserve rate hikes. The 3.8% year-over-year CPI increase in April pressured risk assets, including crypto, while geopolitical tensions and rising energy costs added to market caution. Despite this, larger Bitcoin holders continued accumulating, suggesting some confidence, but weak spot demand and declining derivatives activity indicate the market is not yet ready for a strong breakout. The key resistance level to watch is $82,300; a sustained move above this with improved demand could signal a bullish continuation, while failure may lead to sideways trading.