What Is The Expected Impact Of CPI On BTC, Bullish Or Bearish?

<p>&nbsp;"Investors be ready, BTC movement is often volatile and can go up and down."</p><p><br /></p><p>Yesterday the price of the king of cryptocurrency Bitcoin (BTC) managed to strengthen up to $31,000 before slipping back to $30,190 when investors were waiting for the publication of the Consumer Price Index (CPI) data of the United States (US) which will be released tomorrow Wednesday.</p><p><br /></p><p>This is because the Federal Reserve (Fed) which pays attention to the core CPI first is expected to raise interest rates during the next Federal Open Market Committee (FOMC) meeting.</p><p><br /></p><p>Through observation, total annual inflation is predicted to fall at 3.20% and if that figure is reached then it will make it the lowest reading since March 2021 while core inflation will also record the lowest level since November 2021 if it falls at 5.1%.</p><p><br /></p><p><br /></p><p>There is no denying that BTC is currently still witnessing a flat movement, but the price has the potential to jump by 5.05% after tomorrow's release of CPI data that could add uncertainty to the crypto market.</p><p><br /></p><p>However, it should be noted that BTC is capable of falling below $30,000 if another interest rate hike is announced, however, given that the network continues to be strong, investor sentiment may also remain strong.</p><p><br /></p><p>It is well known that when inflation is at 2% which is the Fed's target, investors are likely to be more interested in risky assets such as crypto and then drive up their prices further as interest rates will not be raised at all.</p><p><br /></p><p>Please note that the price of BTC saw a slight increase yesterday when Standard Chartered Bank predicted that the price of BTC will reach $50,000 by the end of this year and over $120,000 before the end of 2024.</p><p><br /></p><p>As of this writing, BTC price has jumped by 1.31% to $30,491 in the last 24 hours with a market cap of $592 billion but still recorded a 2.19% decline over the last week.</p>