Bitcoin was waiting for cuts. Hot CPI inflation data just put hikes back on the table

A hotter-than-expected April inflation report has put Bitcoin back at the center of the Federal Reserve trade, reviving the higher-for-longer rates problem that has capped crypto markets for much of the year. The Bureau of Labor Statistics (BLS) reported on May 12 that headline CPI rose 3.8% year over year in April, above the 3.7% consensus estimate and the highest annual reading since January 2024. Core CPI, which s…