#Bitcoin is affected by CPI.#
Hot Topic Overview
Overview
Bitcoin is currently stagnant, with the market cautious ahead of the release of the US's biggest economic event of 2025 - the December CPI data. The CPI report on Wednesday is crucial for the digital asset market due to the prevailing hawkish sentiment from the Fed and the increasing correlation between Bitcoin and tech stocks. Stagnant liquidity inflows from stablecoins have also raised concerns about the sustainability of Bitcoin's price recovery from below $90,000, with traders preparing for potential downside volatility by increasing short-term put options. Experts believe that if CPI data comes in below expectations, it could trigger a Bitcoin rally. Meanwhile, XRP and AI tokens are showing activity, and these tokens could see larger gains if the CPI sparks a return of risk appetite in financial markets.
Ace Hot Topic Analysis
Analysis
Bitcoin is currently in a holding pattern as the market awaits the release of the U.S. December CPI data with caution. Experts believe that if the CPI data comes in below expectations, it could trigger a Bitcoin rebound. However, the stalled liquidity inflows from stablecoins and the increased short-selling of options by traders suggest that there are concerns about the sustainability of a sustained recovery in Bitcoin prices from below $90,000. Additionally, the prevailing hawkish sentiment from the Federal Reserve and Bitcoin's increased correlation with tech stocks have heightened market sensitivity to the CPI data. Overall, market expectations for the CPI data are mixed, and Bitcoin's trajectory will depend on the specifics of the data and how the market interprets it.
Public Sentiment · Discussion Word Cloud
Public Sentiment
Discussion Word Cloud
Classic Views
CPI data has a significant impact on the price of Bitcoin. Market expectations that inflation data will be lower than expected could trigger a Bitcoin rebound.
Hawkish sentiment from the Fed is prevalent. Bitcoin's correlation with tech stocks is increasing, and CPI data has a major impact on the digital asset market.
Stablecoin inflows have stalled, and traders are preparing for potential downside volatility by increasing short-term put options.
XRP and AI tokens could see larger gains after the CPI data release.