News View Non-AMP

How Crypto Market Might React To The CPI Report Today?

Published by
Elena R

The U.S. Bureau of Labor Statistics will release July Consumer Price Index (CPI) data for August 10 at 12:30 GMT. The CPI is an indicator of a nation’s inflation levels. 

The CPI is a measure of the monthly change in price paid by consumers. The federal reserve consider recent CPI data to decide the interest rates. The economists have expected inflation to come down to 8.7 percent from 9.1 percent. A modest increase of 0.2 percent is projected monthly, after a leap of 1.3 percent in June. 

The Relation Between Crypto and CPI

The CPI is used as one of the indicators for inflation and the Fed curbs higher inflation rates by hiking the interest rate. Higher rates frequently result in market instability, which includes the cryptocurrency market.

The US inflation rates have been a cause of concern for the crypto community. The CPI was 9.1 percent for June, reflecting the highest inflation level in 40 years. Bitcoin suffered the worst financial quarter in over a decade, resulting in the crypto market being highly volatile. 

The CPI was 9.4 percent in July but there was no significant impact on the crypto market. Lark Davis, a crypto influencer, stated that high inflation was already priced in by the time. Many economists thought that the Fed would change its hawkish approach due to concerns about a recession.

However, if the CPI numbers are still high then the Fed might make another unusually large hike. 

Ahead of the reveal

Numerous economists have predicted that CPI would be 8.7 percent. However, Michael J Kramer, founder of Mott Capital, said that according to the predictions by Cleveland Fed, the CPI is to be 8.8 percent. The CPI has always been higher than the estimations by Cleveland Fed since Fall 2021, he said. 

Davis expects market volatility ahead of CPI reveal. He said that bitcoin org daily RSI uptrend is barely hanging on. Both Bitcoin and are down by 5 percent in anticipation of today’s reveal. 

Elena R

Elena is an expert in technical analysis and risk management in cryptocurrency market. She has 10+year experience in writing - accordingly she is avid journalists with a passion towards researching new insights coming into crypto erena.

Recent Posts

Ethereum Price Prediction 2025: ETH Price May Trigger a 10x Rally, if This Trade Setup Plays Out Well

The crypto markets are experiencing a powerful bullish wave, highlighted by Bitcoin’s breakout and a…

April 25, 2025

What’s Next for the Chainlink (LINK) Price-Will it Reclaim $20 Before the End of the Month?

The recent rise in the bullish momentum has elevated the markets above the bearish captivity…

April 25, 2025

Coinbase Inks Strategic Partnership With PayPal to Enable Mainstream Adoption of PYUSD Stablecoin

The PayPal USD (PYUSD) stablecoin is fast approaching the $1 billion market cap milestone. The…

April 24, 2025

Cardano (ADA) Enters a Decisive Phase:  Will a Golden Cross Trigger a Move Above $1?

The crypto market is in a pivotal phase, marked by trend reversals, mixed short-term performance…

April 24, 2025

MultiBank (MBG) Token Analysis: A Standout Opportunity in the CEX Token Landscape

After examining the major centralized exchange tokens like BNB, OKB, CRO, and others, MultiBank's MBG…

April 24, 2025

Should You Be Bullish on POL (Prev. MATIC) Price? Will It Ever Reach $1?

The crypto market is witnessing some cautious declines today, with the total market capitalization dropping…

April 24, 2025