Cryptocurrency prices turned lower during Tuesday's trading, after U.S. inflation data came in above expectations.
Official data revealed that the US consumer price index rose 8.3 percent in August year-on-year, which is lower than July's reading of 8.5 percent, but exceeds expectations of 8.1 percent.
Following the inflation data, investors' expectations of the Federal Reserve's direction of a 75 basis point rate hike at the September 21 meeting escalated.
Cryptocurrencies were also hit by a rise in the dollar index, which tracks the greenback's performance against a basket of six major currencies, by about 1%, as well as a rise in US Treasury yields.
Bitcoin fell 5.2% at $21.230k at 5:30 p.m. Mecca time, after reaching $22.673k earlier in trading.
