Bitcoin Moves Sideways as Investors Expect CPI Inflation Announcements
November's CPI data could lower to 3.1%, possibly aiding crypto recovery; Wall Street predicts varied outcomes, impacting Bitcoin prices.
November's CPI inflation data will be announced by The U.S. Bureau of Labor Statistics today, with people expecting a decrease to 3.1%, this could potentially aid the crypto market recovery. October's inflation rate was 3.2%.
Experts from Wall Street have predicted a cooling of CPI inflation while they expect core CPI to remain at 4%. Major financial institutions have made different predictions of the CPI, but these predictions stay within the range of 3% to 3.2%.
If there’s a drop in CPI inflations as expected, it could cause the U.S. Federal Reserve to lower interest rates. According to The CME FedWatch Tool, there’s a chance that there would be a pause in rate hikes. The US dollar index has also fallen, possibly having a positive effect on Bitcoin prices.
Bitcoin and other cryptocurrencies are known to respond to this announcement. Therefore they could experience some price changes after the CPI announcement. Analysts have predicted a possible rise in Bitcoin prices. Current trading shows a slight decrease as traders await CPI data, with a significant increase in trading volumes.
