Crypto Market Faces Selling Pressure, Investors Look to April CPI Report
In the face of market uncertainty, all eyes are on the upcoming April Consumer Price Index (CPI) report, which is expected to reveal inflation rates ranging between 3.3% and 3.4%. These figures would exceed the Federal Reserve’s target of 2% and raise concerns about higher inflation. As a result, the Federal Open Market Committee (FOMC) is likely to postpone interest rate cuts until at least July, as it grapples with addressing inflationary pressures.
Meanwhile, the cryptocurrency market has seen considerable volatility, with Bitcoin’s price dropping by over 5% in just one week. Ethereum and other altcoins also experienced significant decreases in value, with ETH trading at $2,884, representing an 8.62% decline in the past week. The selling pressure across the crypto market resulted in corrections of 4-10% among the top ten cryptocurrencies.
Given the ongoing economic uncertainties and fluctuating crypto markets, investors are bracing themselves for potential impacts on both monetary policy and asset values in the coming weeks.