NewsletterCPI Reveal Today: How You Should Prepare Ahead Of This Key Event
The U.S. Bureau of Labor Statistics will release the Consumer Price Index for the month of July. The announcement is set to be made at 10:30 A.M. Eastern Time. The Consumer Price Index is a measure of the monthly change in price paid by consumers.
The CPI is a strong indicator of the inflation levels of a nation. The Federal Reserves take into consideration the recent CPI data for deciding their interest rates. Many economists are expecting a CPI of 8.7%.
What The CPI Means For Crypto
The Consumer Price Index is a strong indicator of the inflation levels of the nation. The Fed curbs a higher inflation rate by hiking the interest rate. Higher rates often bring volatility in the markets, including the crypto market.
The U.S. inflation rates have been a cause of concern for the crypto community. The CPI of 9.1%, released in the month of June, showed inflation at the highest level in 40 years. This resulted in high volatility in the crypto market. Consequently, Bitcoin suffered the worst financial quarter in over a decade.
The CPI revealed in the month of July, despite being at an extremely high 9.4%, did not have a significant impact on the crypto market. According to Lark Davis, a major crypto influencer, the reason was that high inflation was already priced in. Many economists believed that recessionary fears will cause the Fed to pivot from its hawkish stance.
However, if the CPI numbers are high, the Fed might commit to another unusually large hike.
How To Prepare For The Reveal
Many economists have given a CPI estimate of 8.7%. However, Michael J Kramer, the founder of Mott Capital, has revealed that the Cleveland Fed estimates the CPI to be at 8.8%. He also revealed that the CPI has always been higher than Cleveland Fed’s estimates since Fall 2021.
Lark Davis expects market volatility as well ahead of the CPI reveal. He revealed that Bitcoin’s daily RSI uptrend is hanging by a thread. Both BTC and ETH are down by about 5% in anticipation of today’s reveal.
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more… to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
Premium Partners
Delivered every day.
- Insights that move markets
- 100,000 active subscribers
Related Articles
- Harvard Boosts Bitcoin ETF Holdings 257% to $443M Amid Investor Withdrawals
- SEC Chair Paul Atkins Plans Crackdown on Proxy Advisors, Details New Crypto Rulebook
- FUNToken’s Economy Getting Stronger During $5M Giveaway: Here’s Why
- Eric Trump Predicts Imminent Gold Outflow Into Bitcoin Despite Crash Below $100k
- BlackRock’s BUIDL Launches on BNB Chain as Binance Approves It for Collateral
- Bitcoin Price Pattern Points to a Crash to $62k as Fed Cut Odds Fall to 54%
- Zcash Price Defies Market Crash: Will Shrinking Exchange Netflows Keep ZEC Rallying?
- XRP, DOGE & ADA Price Outlook: How Low Can These Altcoins Drop Next?
- Ethereum Price Sheds 10% but Lands on the $3,150 Accumulation Base — Is a Buy-the-Dip Bounce Ahead?
- Is Shiba Inu Price Set for Recovery Amid Partnership with Unity Nodes to Expand SHIB Utility?
- Top 3 Reasons Pi Network Price May Surge Despite the Incoming Token Unlock
