Why the Market Is Falling Despite Bullish CPI Data....?
1. News Already Priced In:
Traders anticipated the bullish CPI and bought earlier in the week. So when the data dropped, many took profits — the classic “buy the rumor, sell the news” move.
2. Liquidity Hunt by Big Players:
Whales often push prices down after good news to trigger stop-losses and accumulate cheaper before the next leg up.
3. Macro Uncertainty Still There:
Even with cooling inflation, Powell hasn’t confirmed rate cuts, and markets know the Fed can stay cautious for longer. That limits upside momentum.
4. Overleveraged Longs Got Flushed:
Funding rates were high — meaning many traders went long expecting a pump. When prices didn’t explode immediately, liquidations pulled the market lower.
5. Short-Term Technical Resistance:
ETH hit resistance around $4,000+, BTC near $111K — natural zones for profit-taking.
So while the CPI data is fundamentally bullish, the short-term market reaction is just positioning and liquidity reshuffling.
If ETH and BTC hold key supports, the next bounce could be stronger once weak hands are out.
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