#CryptoCPIWatch Crypto markets are increasingly sensitive to CPI (Consumer Price Index) data, as inflation trends influence Federal Reserve policies. High CPI readings often trigger fears of prolonged high interest rates, dampening risk appetite and pressuring Bitcoin and altcoins. Conversely, lower-than-expected CPI can fuel rallies, as traders anticipate rate cuts and liquidity boosts. Analysts monitor core CPI (excluding volatile food/energy) for clearer signals. Some argue crypto now acts as an inflation hedge, though its volatility challenges this narrative. With macroeconomics playing a bigger role, traders brace for CPI releases, as surprises can spark sharp price swings across the crypto market.