CPI Falls Short of Expectations – Is Bitcoin Set to Explode Again?
Published: May 13, 2025
The latest U.S. inflation data has sparked optimism across financial markets. CPI for April came in softer than expected, signaling that inflation might finally be under control. This development opens the door for the Federal Reserve to consider interest rate cuts in the near term.
Why is this bullish for Bitcoin? Lower interest rates mean cheaper capital and more liquidity—ideal conditions for risk-on assets like crypto to thrive. As a result, investor sentiment is beginning to tilt back toward bullish territory.
Bitcoin, however, remains in a consolidation phase around $103,000. Some traders are watching closely to see if the reduced inflation numbers will act as a catalyst for a breakout above the $105K resistance zone.
