Investors got a shock today as Bitcoin erased last week’s 5 percent gain to settle at $36,880. The popular coin briefly hit $37,900 on Wednesday, approaching the $38,000 threshold for the first time since May 2022. However, anticipation of upcoming US CPI data and a speech by Federal Reserve Chairman Jerome Powell have led to a more cautious stance among investors.

The expected October CPI data is expected to show a modest increase of only 0.1 percent on a monthly basis, a sharp decline from the 0.4 percent increase seen in September. This prediction contributed to a sideways trend in Bitcoin as market participants faced uncertainty. Because in general, higher inflation rates increase selling pressure on risky assets like Bitcoin due to concerns about purchasing power and economic stability.

To stay updated with the latest developments, follow us Twitter They Wire You can follow it on our channel.

Jerome Powell’s recent comments did not rule out further rate hikes to maintain price stability, but investors remained hopeful that the Federal Reserve might hold off on additional hikes for the time being.

On the other hand, the core CPI inflation rate, which excludes variables such as food and energy, is expected to be at a higher rate of 4.1 percent annually and 0.3 percent monthly, which could have a positive impact on stocks, putting pressure on stocks. U.S. Dollar.

Bitcoin price fluctuations are often influenced by macroeconomic indicators, which can cause short-term fluctuations in market value.

Categorized in:

Tagged in:

, ,