Everyone is on edge as the latest US CPI (Consumer Price Index) data is set to be released, and it could be a major turning point for the crypto market. The CPI, which measures inflation, is the key number the Federal Reserve is watching before they even think about cutting interest rates.
Historically, we've seen a pattern, right before the CPI data drops, Bitcoin tends to pump and then dump. If the data comes in as expected, or even better than expected, it could lead to Bitcoin consolidating. This is a massive opportunity for altcoins!
When Bitcoin consolidates, money rotates into altcoins like Ethereum, which has a chance to hit a new all-time high. This is the moment when projects like Solana and ENS could see a significant pump.
But be careful, if the CPI data comes in much higher than expected, it could lead to a market correction. Traders are already setting up for a "scalp" with some eyeing a buying zone for Ethereum below $4,100 if there's a dip.