Why did the favorable CPI data lead to a sharp decline in cryptocurrency?

The recent cryptocurrency market has been quite busy, with good and bad news coming in hourly, and data indicators needing to be referenced from both sides for repeated verification.

For example, today's CPI normally would directly stimulate the Federal Reserve's interest rate cut expectations, but at the same time, the market plummeted.

The first reason is: the Nasdaq index fell by 6%, and BTC had no choice but to follow suit.

The second reason is: the CPI expected value is low, indicating that the current market is facing deflation, which, while leading to a Federal Reserve interest rate cut, also signifies the onset of recession.

Additionally, it's worth mentioning that China has been hit with a 145% tariff.

Although this is a negative that many anticipated, it is also worth noting; China's retaliatory stance may bring about another wave of decline!

CPI data is coming in