Fun

Low CPI print is fodder for Bitcoin to retest all-time highs — Grayscale research head

News Feed - 2024-08-15 01:08:27

Alex O’Donnell7 hours agoLow CPI print is fodder for Bitcoin to retest all-time highs — Grayscale research headBitcoin’s response to the CPI report was surprisingly muted.2212 Total views4 Total sharesListen to article 0:00NewsOwn this piece of crypto historyCollect this article as NFTCOINTELEGRAPH IN YOUR SOCIAL FEEDFollow ourSubscribe onLower-than-expected core inflation in the United States is fodder for Bitcoin (BTC) to retest its all-time highs, Zach Pandl, Grayscale’s head of research, told Cointelegraph on Aug. 14. 


The US Bureau of Labor Statistics (BLS) reported July Consumer Price Index (CPI) data on Aug. 14, showing annualized price increases for consumers of 2.9% — the slowest rate since 2021. That is “significant because it will allow the Fed to begin reducing rates,” Pandl said.


“Rate cuts are likely a necessary condition for sustained weakness in the US Dollar and fodder for Bitcoin to retest its all-time highs,” according to Pandl. “Fortunately for crypto investors, the incoming data may be a signal for lowering rates sooner rather than later.”


Related:BTC price suddenly drops 5% as Bitcoin rejects low CPI print


The results came in below market expectations, suggesting that the US Federal Reserve can proceed with anticipated cuts in interest rates without fear of unduly impacting prices for consumers. Fears that the US is heading toward a recession are mounting after the BLS reported unemployment at a three-year high of 4.3% on Aug. 2.Fed target rate probabilities for July FOMC meeting. Source: CME Group


Futures market pricing currently reflects expectations of at least a quarter of a percent interest rate cut at the Federal Reserve’s next meeting in September, according to CME FedWatch. Rates are currently targeted at around 5.5%.


Bitcoin’s response to the report was surprisingly muted. According to data from Cointelegraph Markets Pro and TradingView, BTC spiked to nearly $62,000 on the news and then fell by more than 3% in the following hour.


Crypto markets have largely recovered from a sharp pullback on Aug. 5 that saw the price of BTC plunge by around 18% in a day.


Grayscale is the largest crypto asset manager with upward of $25 billion in assets under management across its funds, according to the company.


Magazine:How Chinese traders and miners get around China’s crypto ban# Bitcoin# Cryptocurrencies# Federal Reserve# Analysis# Bitcoin Price# Investments# Markets# United States# Predictions# Price Analysis# Market Analysis# Market ReleaseAdd reaction

News Feed

Treasury Secretary Yellen Holds Unscheduled Meeting With Top Financial Regulators Amid Turmoil in Banking Sector
Treasury Secretary Yellen Holds Unscheduled Meeting With Top Financial Regulators Amid Turmoil in Banking Sector U.S. Treasury secretary Janet Yellen initiated an unscheduled Finan
OpenAI is rolling out long-awaited ‘advanced voice’ feature
Tom Mitchelhill12 hours agoOpenAI is rolling out long-awaited ‘advanced voice’ featureOpenAI’s new advanced voice feature introduces five new voices, capable of remembering previous conversations and changing the t
Nvidia claims breakthrough on path to GPU-based quantum computing
Tristan Greene3 hours agoNvidia claims breakthrough on path to GPU-based quantum computingQuantum annealing systems could impact the finance and blockchain industries in a major way.2765 Total views6 Total sharesListen t
Payments Giant NCR Acquiring Libertyx to Offer Complete Crypto Solution
Payments Giant NCR Acquiring Libertyx to Offer Complete Crypto Solution NCR Corp., a global leader in ATM software applications, has announced that it is acquiri
Susquehanna International Group adds $1B in Bitcoin ETFs to portfolio
Ana Paula Pereira2 hours agoSusquehanna International Group adds $1B in Bitcoin ETFs to portfolioAccording to a filing with the U.S. SEC, Susquehanna International Group invested more than $1 billion in Bitcoin ETFs in Q
Litentry Crowdloan Allocates 20% LIT Total Supply and Partners With Binance With Extra $2.5M Reward Pool
Litentry Crowdloan Allocates 20% LIT Total Supply and Partners With Binance With Extra $2.5M Reward Pool press release PRESS RELEASE. Litentry, a decentralized identity aggregation
Tesla Begins Accepting Dogecoin Payments — Some Merchandise Can Only Be Purchased With DOGE
Tesla Begins Accepting Dogecoin Payments — Some Merchandise Can Only Be Purchased With DOGE Tesla now accepts dogecoin for some merchandise on its website. CEO Elon Musk delivere
Marc Cuban wallet dumps NFTs, market volume drops 45%: Nifty Newsletter
Ezra Reguerra4 hours agoMarc Cuban wallet dumps NFTs, market volume drops 45%: Nifty NewsletterMarc Cuban has offloaded some NFTs, while overall NFT sales volume dropped by 45% in Q2.2210 Total views2 Total sharesListen
Bitcoin Short-Term Holders Back In Green As Price Breaks $94,000
Reason to trust Strict editorial policy that focuses on accuracy, relevance, and impartiality Created by industry experts and meticulously reviewed The highest standards in reporting and pu
Hong Kong issues generative AI guidelines for consumer protection
Arijit Sarkar46 minutes agoHong Kong issues generative AI guidelines for consumer protectionThe HKMA introduces new principles for using generative AI, emphasizing governance, transparency, and data protection in consume
Square Enix to Reinforce Blockchain Bet, According to Latest Earnings Report
Square Enix to Reinforce Blockchain Bet, According to Latest Earnings Report Square Enix has announced its new mid-term business plan, reinforcing its blockchain pivot according to
First AMM Layer2 DEX ZKSwap Announces Testnet Incentive Program with 1 Million ZKS Tokens Rewards
First AMM Layer2 DEX ZKSwap Announces Testnet Incentive Program with 1 Million ZKS Tokens Rewards PRESS RELEASE. ZKSwap developed by L2Lab is the first layer2 de