Crypto Market Braces for Inflation Data, Bitcoin Price Under Pressure
Crypto market participants are bracing for US CPI inflation data today, which could have a significant impact on cryptocurrency prices. According to recent estimates from JPMorgan and other Wall Street giants, Bitcoin's price may continue to slide due to rising inflation expectations. The current oil price rebound amid the US-Iran war is also keeping traders uncertain about market direction.
JPMorgan has estimated that US CPI inflation will reach 2.5% in the coming months, while Morgan Stanley predicts a 3% increase. Citigroup, on the other hand, expects a 2.7% rise in inflation. These estimates may lead to increased selling pressure on cryptocurrencies, particularly Bitcoin, which has already slid almost 2% to below $77,000 ahead of the release.
The uncertainty surrounding market direction is further exacerbated by the US-Iran war, which has led to a surge in oil prices. This could have a ripple effect on the entire economy and lead to increased inflation expectations, making it even more challenging for cryptocurrencies to recover.