The upcoming releases of the Consumer Price Index (CPI), initial jobless claims, and the Producer Price Index (PPI) are key economic indicators that can significantly impact the cryptocurrency market:
Consumer Price Index (CPI)
The CPI measures the average change over time in the prices paid by urban consumers for a market basket of goods and services. It's a widely watched gauge of inflation.
* Higher-than-expected CPI (more inflation): This can be a double-edged sword for crypto. On one hand, some investors view Bitcoin and other cryptocurrencies as a hedge against inflation, leading to potential buying pressure. However, it can also lead the Federal Reserve to maintain or increase interest rates, which typically makes riskier assets like crypto less attractive.
* Lower-than-expected CPI (less inflation): This is generally seen as a positive for crypto. It suggests that the Federal Reserve may be more likely to ease monetary policy, such as lowering interest rates. Lower rates can lead to increased liquidity in the market, making speculative assets like cryptocurrencies more appealing to investors.
BE READY for BIG PUMP 💪 💪 💪 💪 or
BIG DUMP 😔 😲 😔 😲 😔. WHAT do you think? 🤔 🤔
