#CPI data is coming CPI data, as a core indicator of measuring inflation, mainly impacts the crypto assets market (crypto world) through monetary policy expectations, market risk appetite, and liquidity.


Monetary policy expectations: interest rate hikes/cuts and the strength of the dollar
CPI higher than expected: If the latest CPI shows stubborn inflation, the market expects central banks (such as the Federal Reserve) to maintain high interest rates or further raise rates → US dollar strengthens → Risk assets (including Crypto Assets) come under pressure due to rising funding costs.
CPI lower than expected: signals of cooling inflation strengthen, market bets on the central bank halting interest rate hikes or even cutting rates → USD weakens → Liquidity improves, funds may flow into risk assets like Bitcoin.
BTC1.41%
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