#CryptoCPIWatch The US Consumer Price Index (CPI) data was released on May 13, 2025, and here's the latest news on its impact on the crypto market:

CPI Data and Market Expectations

- The CPI data is expected to show a steady inflation rate of 2.4% year-over-year for April, with a month-over-month change of 0.3%.

- However, Truflation's data suggests a lower inflation rate of 1.68%, which could impact market sentiment.

- A lower-than-expected CPI reading could fuel a rally in the crypto market, while a higher-than-expected reading might stall hopes for a Fed rate cut and trigger a sell-off.¹

Crypto Market Reaction

- The crypto market was tense ahead of the CPI release, with traders trimming their positions in anticipation of potential volatility.

- Bitcoin's price had touched $105,700 but pulled back to around $103,400 ahead of the CPI data release.

- XRP bucked the trend with a small surge, while other altcoins remained largely subdued.²

Market Outlook

- The CPI data is crucial for the crypto market, as it could influence the Federal Reserve's decision on interest rates and shape market sentiment.

- A favorable CPI reading could propel Bitcoin toward an all-time high, while an adverse reading might dampen investor sentiment.³

Key Takeaways

- *CPI Data*: Expected to show a steady inflation rate of 2.4% year-over-year for April.

- *Market Volatility*: Traders are cautious ahead of the CPI data release, with potential for significant market movement.

- *Crypto Prices*: Bitcoin's price pulled back ahead of the CPI data release, while XRP showed resilience.