The encryption market is preparing for inflation data in the upcoming Consumer Prices Index (CPI), which can greatly affect federal reserve price reduction plans. The recent American job data, which indicated the existence of a cooling market, has nurtured the optimism of the market and raised hopes for reducing potential rates. It is worth noting that Bitcoin briefly exceeded a sign of $ 100,000 after the issuance of job data, which reflects the positive morale of the market.
Now, market monitors are eagerly awaiting decisive events this week, which can provide more clarity in future monetary policy decisions at the Federal Reserve.
The encryption market enters a decisive week
Investors are looking for major economic developments as the encryption market enters a decisive week. A wave of developments for this week is scheduled, including inflation indicators such as the US Consumer and American PPI price index and others. Moreover, Federal Reserve Chairman Jerome Powell will closely be monitored for Congress to attend the central bank’s position on federal reserve price reduction plans.
CPI inflation in the United States and its impact on Bitcoin & Obser Crypto Market
The highly expected US Consumer Prices Index (CPI) data is scheduled to be held for this week, which is likely to affect the direction of the broader encryption market, including bitcoin. According to Wall Street’s expectations, the US consumer price index is expected to cool to 0.3 % for January, a decrease from 0.4 % in December. On an annual basis, the consumer price index is expected to come 2.8 %, a decrease from 2.9 % previously.
On the other hand, the basic inflation of the consumer price index, with the exception of food and energy prices, is expected to remain unchanged at 0.3 %. However, the main consumer price index is expected to cool on an annual basis to 3.1 % from 3.2 % in the previous month.
Meanwhile, this data is very important to interest rate decisions in the Federal Reserve, which in turn affects the encryption market. The low inflation rate can lead to a more stance by the Federal Reserve, which is likely to benefit from bitcoin and the broader encryption market.
After saying this, this data will be closely monitored by investors, especially after the recent American job data has given some comfort to investors. It is worth noting that the latest labor market data showed that non -agricultural salary statements were less than 169,000 market expectations and an increase of 143,000 in January.
Other major events to watch
Regardless of the consumer price index numbers, the market is also awaiting the US Producers’ price index numbers (PPI). It is another major scale that the Federal Reserve in the United States evaluates it with the determination of policy price plans. PPI inflation data on Thursday 13 February.
According to market estimates, the US price index in the United States is likely to provide 0.3 % for January, an increase of 0.2 % in the previous month. After saying this, this may affect market morale, as Federal Reserve officials have previously revealed charity expectations with price reduction plans.
At the same time, there is another major event this week, which is the testimony of Jerome Powell, Speaker of Parliament, especially yet The latest federal reserve report to Congress It strikes an optimistic tone for the American economy, noting growth. However, it also indicates concerns about the stability of the financial system, cautiously, amid continuous monetary policy discussions and market fluctuations.
It is worth noting that the President of the Federal Reserve is scheduled to witness in front of Congress this week, which represents his first appearance since July. Powell will face the Senate Banking Committee on Tuesday and the Financial Services Committee in the House of Representatives on Wednesday.
The market participants will see his testimony closely, as it may provide evidence of future interest rate decisions at the Federal Reserve. The Federal Reserve’s recent decision to maintain fixed prices in January has caused Powell’s perspective about discounts in future prices. Given that his testimony may affect the encryption market and the wider financial sector, as investors seek instructions on the position of the monetary policy of the federal reserve coach.
What is the next for the encryption market and bitcoin?
Economic indicators and the testimony of the Federal Reserve Chairman will play a major role in shaping market morale in the future. Although recent US job data gave some relief, the focus now is transmitted to inflationary indicators. After saying this, if inflation is more hot than expected, this may lead to a possible sale in the wider financial sector, not to mention the encryption market.
Moreover, the continuous market fluctuations have already forced many investors to stay on the margin. However, though, the market analysts seem to be optimistic about the future currency path. For the context, senior experts recently expected a possibility in bitcoin prices to $ 90,000 before reflecting the path to hit a new ATH.
Robam Roy
RUPAM is an experienced professional with three years experience in the financial market, where he developed a reputation as an insightful career and journalist. It flourishes to explore the dynamic nuances of the financial scene. It currently acts as a sub -editor in Coingepe, RUPAM experience extends beyond the traditional borders. Its role includes breaking stories, analyzing developments related to the prosecution, providing actual time updates in the encryption market, and providing insightful economic news. Robam’s profession is characterized by a deep passion for the complexity of financing and the presentation of influential stories that resonate with a diverse audience.
Responsibility: Is market research before investing in encrypted currencies? The author or post does not bear any responsibility for your personal financial loss.
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