#CryptoRoundTableRemarks US CPI Report – May 13, 2025

The US Consumer Price Index (CPI) data was released today at 15:30, showing a headline inflation rate of 2.3%, slightly below the expected 2.4%. This outcome aligns with the most bullish scenario for financial markets, especially risk assets like Bitcoin and Altcoins.

Market Reaction:

US Dollar Index (DXY): Down 0.25% to 101.53

Investor Sentiment: Bullish

Outlook: Increased likelihood of interest rate cuts in the coming months

Crypto Market: Likely to respond positively due to lower inflation

Why It Matters:

Lower-than-expected CPI data suggests inflation is easing, giving the Federal Reserve more room to potentially lower interest rates without stoking inflationary fears. This generally supports higher valuations in risk assets.

Core CPI:

Rose 2.8% year-over-year, in line with March's data and analyst expectations.

Scenarios Outlined:

1. CPI > 2.4% – Bearish; rate cuts delayed

2. CPI = 2.4% – Neutral to bullish; sentiment-driven rally

3. CPI < 2.4% – Bullish; increased odds of rate cuts (Actual scenario)

Conclusion:

With Scenario 3 now in play, markets may see continued upside momentum. Expect crypto and tech-heavy sectors to benefit the most in the short $BTC