Why is Bitcoin Cash a problem?

Following the release of August CPI statistics showing greater inflation, Bitcoin Cash (CRYPTO: BCH) was down 7.04% at $119.80 on Tuesday.

Investors are growing more risk-averse as a result, and it is more likely that the Fed will continue to tighten policy in order to fight inflation.

Cryptocurrencies are viewed by some investors as a speculative inflation hedge,

Consequently, the Fed's efforts to lower inflation may negatively affect the cryptocurrency market as a whole.

According to American statistics. The BLS reports that the annual rate of inflation slowed from 8.5% in July to 8.3% in August.

The Consumer Price Index for August was higher than the 8% forecast by the majority of economists.

August saw a 6.3% increase in "core" inflation (inflation excluding food and energy), which was higher than the 6.1% growth that professional forecasters had predicted would occur.