#DeFiGetsGraded The Impact of Inflation Data on Fed Actions
According to analysts, a higher-than-expected CPI reading could weaken the chances of a Fed rate cut, which could pressure riskier assets, including Bitcoin.
Timothy Misir, Head of Research at BRN, said: "The market is now focused on Tuesday's US CPI reading, with expectations for a slight increase to 2.8% year-over-year. Any weaker reading would likely reinforce a September Fed rate cut, which is positive for riskier assets. A higher reading could stall momentum and trigger tactical profit-taking across these assets."