đ CPI Could Dictate Cryptoâs Next Course
The forthcoming US CPI data may serve as a crucial driver for Bitcoin and, at large, the crypto market. The market is already focused on rising inflation following a better-than-estimated jobs report.
If the CPI turns out to be higher than expected, expectations of rate rises may increase, and the dollarâs value can rise as well. These higher dollar rates and US yields can put pressure on Bitcoin.
On the contrary, a milder CPI could alleviate pressure on the Fed, improve sentiment toward risk, and bring fresh buyers to crypto. If such an event occurs, BTC could be the first to move, with altcoins being next to make a stronger move.
Iâm as much concerned about the marketâs reaction as the numbers themselves. A hot CPI with BTC holding support can be a bullish sign, and vice versa; a softer CPI might fail to help if BTC breaks the most crucial support.
For the time being, Iâm observing BTC, DXY and US yields closely around the release and reaction to CPI, which will give us a better idea of the next crypto move.
#CPIWatch
The forthcoming US CPI data may serve as a crucial driver for Bitcoin and, at large, the crypto market. The market is already focused on rising inflation following a better-than-estimated jobs report.
If the CPI turns out to be higher than expected, expectations of rate rises may increase, and the dollarâs value can rise as well. These higher dollar rates and US yields can put pressure on Bitcoin.
On the contrary, a milder CPI could alleviate pressure on the Fed, improve sentiment toward risk, and bring fresh buyers to crypto. If such an event occurs, BTC could be the first to move, with altcoins being next to make a stronger move.
Iâm as much concerned about the marketâs reaction as the numbers themselves. A hot CPI with BTC holding support can be a bullish sign, and vice versa; a softer CPI might fail to help if BTC breaks the most crucial support.
For the time being, Iâm observing BTC, DXY and US yields closely around the release and reaction to CPI, which will give us a better idea of the next crypto move.
#CPIWatch