• The US Consumer Price Index (CPI) data will be published today at 13:30 GMT, which is likely to have a significant impact on the U.S. dollar and as a consequence also on the crypto market.
• Bitcoin has begun the day with another red candle, but it is still holding up quite well. If there are no surprises in inflation, or if the figures are better than expected, momentum to the upside could be strong.
• Altcoins have far more risk on their plate and should news be bad, altcoins will dump so much harder than bitcoin. However, many of the alts are sitting at the bottom and if news is good then altcoins are primed to explode upwards.
Impact of Inflation Data
Today at 13:30 GMT the US Consumer Price Index (CPI) data will be published, which is likely to have a significant impact on the U.S. dollar and as a consequence also on the crypto market. On a yearly basis analysts are expecting CPI to fall from 6.5% down to 6.2%, while core inflation which takes out food and energy prices is expected to dip again from 5.7% down to 5.5%. However for first time inflation is now being measured monthly instead of annually and this has lead to more uncertainty in inflation expectations causing markets to be more nervous than usual.
Bitcoin’s Market Performance
Bitcoin has begun the day with another red candle but taking this into consideration it is still holding up quite well with an important level being at $21,480 where if bitcoin confirms below this then $20,860 would be next support level below that one However if news regarding inflation turn out better than expected then bitcoin could aim for piercing top of its current range at 25225$.
Altcoin Market Performance
Altcoin holders have far more risk since if news turns out bad they will dump much harder than bitcoin however many of them are sitting at bottom as far as Stochastic RSI momentum indicator reveals on daily time frame Total 3 market cap for alts has nicely touched support level 347 billion and bounced back 356 billion so there’s potential for explosion especially if inflation related news turn out positive .
By early afternoon GMT markets should know what direction trend will go depending upon results from CPI data keeping in mind that any negative or surprising result can cause extreme volatility for entire crypto market .
This article is provided for informational purposes only it not offered or intended to used as legal tax investment financial or other advice .