🌐 INFLATION IN THE U.S. COOLING IN JULY (0.1% MoM): The key behind the crypto rebound 📊🏛️
The most anticipated macroeconomic data point of the week is now official and confirms the markets’ relief hypothesis: the U.S. Consumer Price Index (CPI) rose a moderate 0.1% in July, perfectly matching analysts’ forecasts.
📊 Key points
📈 Headline CPI: Up 0.1% month-over-month, slowing the year-over-year rate to 3.4% (vs. 3.5% recorded in June).
🎯 Core CPI: Rises 0.2% month-over-month and stands at 2.5% year-over-year (a key measure that excludes food and energy).
⛽ Energy relief: The 2.9% drop in gasoline prices offset small increases in food (+0.1%) and housing.
🧠 What does this mean for the Federal Reserve?
⚖️ Less pressure to tighten rates: Price moderation, together with weak recent labor market data, sharply reduces expectations for additional interest-rate hikes by the Fed.
🌊 Confidence boost for risk: With no upside inflation surprises, macro volatility tightens, allowing capital to flow back into high-growth assets like Tech and Crypto.
⚔️ Direct impact on the key pairs:
🚀 $BTC: As the risk of an out-of-control inflation report fades, Bitcoin confirms support at $64k and preserves the recovery structure toward resistance at $65,000 - $65,400.
⚡ $ETH: A more favorable rates environment is oxygen for Ethereum, supporting its push back above $1,900 and encouraging rotation into mid-cap altcoins.
💡Although the economy is still "not completely out of danger" due to global energy tensions, for the crypto market a CPI aligned with expectations was the green light buyers needed. The macro outlook confirms today’s relief! 🛡️⚡
#Inflation #BTC #ETH #macroeconomy
The most anticipated macroeconomic data point of the week is now official and confirms the markets’ relief hypothesis: the U.S. Consumer Price Index (CPI) rose a moderate 0.1% in July, perfectly matching analysts’ forecasts.
📊 Key points
📈 Headline CPI: Up 0.1% month-over-month, slowing the year-over-year rate to 3.4% (vs. 3.5% recorded in June).
🎯 Core CPI: Rises 0.2% month-over-month and stands at 2.5% year-over-year (a key measure that excludes food and energy).
⛽ Energy relief: The 2.9% drop in gasoline prices offset small increases in food (+0.1%) and housing.
🧠 What does this mean for the Federal Reserve?
⚖️ Less pressure to tighten rates: Price moderation, together with weak recent labor market data, sharply reduces expectations for additional interest-rate hikes by the Fed.
🌊 Confidence boost for risk: With no upside inflation surprises, macro volatility tightens, allowing capital to flow back into high-growth assets like Tech and Crypto.
⚔️ Direct impact on the key pairs:
🚀 $BTC: As the risk of an out-of-control inflation report fades, Bitcoin confirms support at $64k and preserves the recovery structure toward resistance at $65,000 - $65,400.
⚡ $ETH: A more favorable rates environment is oxygen for Ethereum, supporting its push back above $1,900 and encouraging rotation into mid-cap altcoins.
💡Although the economy is still "not completely out of danger" due to global energy tensions, for the crypto market a CPI aligned with expectations was the green light buyers needed. The macro outlook confirms today’s relief! 🛡️⚡
#Inflation #BTC #ETH #macroeconomy