CPI Data Ahead: Analyst Warns of Bearish Consequences for BTC and ETH

Analyst Gu Jingci shared his insights on the crypto market in a recent update. He noted that Ethereum has been experiencing wide-ranging oscillations, while Bitcoin continues to move downward in a choppy trend.

The analyst's team has a 90% win rate with their historical strategies and have successfully executed short positions on rallies. Gu Jingci emphasized the importance of preparing for the evening's CPI data release.

He outlined three possible scenarios based on the CPI numbers:

If CPI is greater than 3.4% and core CPI is greater than 2.4%, inflation exceeds expectations, which would be bearish for BTC and ETH, with ETH being more volatile. On the other hand, if CPI equals 3.4% and core CPI equals 2.4%, this meets expectations, leading to neutral consolidation in the market.

However, if CPI is less than 3.4% and core CPI is less than 2.4%, inflation is cooling, which would be bullish for the crypto market. Gu Jingci noted that core CPI carries more weight and often influences the market's interpretation of CPI data.