๐ **Impact of US CPI Data on Bitcoin: Analysts' Predictions Revealed!** ๐
๐ Investors eagerly await the release of April's Consumer Price Index (CPI) data, a key indicator of inflation, with expectations of improvement compared to March.
๐ก **Price Predictions:**
- **Bearish Scenario:** If CPI data shocks the market, Bitcoin could plummet by as much as 13% to $53,000, warns digital asset trading company Zerocap.
- **Bullish Scenario:** Conversely, hopeful signs of cooling inflation could propel Bitcoin back to $65,000.
๐ **Market Dynamics:**
- Analysts anticipate a media frenzy and short-term declines in risk assets in the event of unexpectedly high CPI, amidst concerns about stagflation.
- However, a decline in inflation could prompt the Federal Reserve to consider interest rate cuts, potentially benefiting riskier assets like Bitcoin.
๐ **Market Expectations:**
- Markets anticipate a rate cut in September following lower-than-expected employment and wages in the US.
- Despite short-term uncertainties, the long-term outlook for the US economy remains positive, according to experts at FRNT Financial and former forex trader Chris Mill.
๐ฌ **Expert Insight:**
- David Brickell and Chris Mill assert that given the evolving macro dynamic, new highs for Bitcoin are inevitable, emphasizing the question of "when" rather than "if."
๐ **Stay Informed:**
- Keep an eye on CPI data for insights into inflation trends and potential market impacts on Bitcoin.
- Despite fluctuations, Bitcoin's long-term trajectory remains promising, buoyed by positive macroeconomic factors.