#CryptoCPIWatch

📊 What is Crypto CPI Watch and why does it matter?

Crypto CPI Watch refers to the attention that the crypto market pays to the Consumer Price Index (CPI), a key data point that measures inflation in economies like that of the U.S.

When the CPI rises, investors tend to become more cautious, as it could imply increases in interest rates, which reduces liquidity in the market... and that also affects cryptocurrencies.

That’s why every time the CPI is published, traders closely watch how Bitcoin and other coins react.

💡 A bad data point can trigger massive sell-offs, and a good one can drive strong increases!

Understanding the CPI is key to anticipating movements in the crypto market.