#CryptoCPIWatch As of May 14, 2025, the U.S. Consumer Price Index (CPI) data for April indicates a moderate inflation increase of 0.2% month-over-month and 2.3% year-over-year, the lowest annual rise since February 2021. Core inflation, excluding food and energy, remained steady at 2.8% year-over-year.

This softer inflation data has influenced the cryptocurrency market, with Bitcoin (BTC) currently trading at approximately $104,128, reflecting a 1.33% increase. Ethereum (ETH) is at around $2,679.47, up by 7.47%.

The Federal Reserve has maintained interest rates between 4.25% and 4.50%, awaiting clearer signs of inflationary pressure from tariffs. President Trump has criticized the Fed for not reducing rates more quickly, citing the favorable inflation

Investment Considerations:

Short-Term Outlook: The current inflation data may support a bullish sentiment in the crypto market.

Medium-Term Risks: Upcoming tariff-related price increases could disrupt the current trend, potentially leading to higher inflation and influencing the Fed's policy decisions.

Long-Term Strategy: Investors should monitor macroeconomic indicators and Fed communications closely, as these will significantly impact cryptocurrency valuations.