Released today, April 10, 2025, the Consumer Price Index (CPI) report for the United States for March. The report showed that the annual inflation rate reached 2.4%, down from 2.8% in February, and compared to expectations of 2.6%. On a monthly basis, the index declined by 0.1%, after an increase of 0.2% in February.
The CPI result today will directly impact Bitcoin, here’s how:
Actual result:
• Annual inflation: 2.4% (lower than expected 2.6%)
• Monthly inflation: -0.1% (unexpected decline)
Impact on Bitcoin:
1. Positive for Bitcoin:
• Lower than expected inflation boosts expectations of interest rate cuts by the U.S. Federal Reserve.
• This means greater liquidity in the market, pushing investors towards high-risk assets like Bitcoin.
• The potential weakening of the U.S. dollar gives a bullish push to Bitcoin.
2. Short-term market reaction:
• If there are no other negative data, we may see a rapid increase in BTC.
• But market behavior should be monitored after the news, especially with institutional movements.