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Bitcoin ETF

Bitcoin

April

<p style="text-align: justify">You can also read this news on BH NEWS: <a href="https://en.bitcoinhaber.net/bitcoin-needs-us-inflation-slowdown" data-wpel-link="internal" rel="noopener noreferrer nofollow">Bitcoin Needs US Inflation Slowdown</a><br></p>
<p style="text-align: justify">Bitcoin’s potential to break its all-time high depends on a decrease in US inflation next month, according to <a href="https://en.bitcoinhaber.net/sharp-decline-in-crypto-market-as-bitcoin-and-ethereum-prices-tumble" data-wpel-link="internal" rel="noopener noreferrer nofollow">crypto analyst</a> Markus Thielen of 10x Research. In a recent report, Thielen stated that if the US Consumer Price Index (CPI) is at 3.3% or lower, Bitcoin could surpass its historical peak.</p>
<h2 id="what-s-happening-on-the-bitcoin-front">What’s Happening on the Bitcoin Front?</h2>
<p style="text-align: justify">A minor 0.1-point drop from the last CPI figure of 3.4% on May 15 is crucial, Thielen noted. He anticipates significant spot Bitcoin exchange-traded fund (ETF) inflows in the two weeks leading up to the May CPI announcement. However, if inflation rates exceed expectations, Bitcoin’s momentum could falter, a pattern observed earlier this year.</p>
<p style="text-align: justify">Since May 13, Bitcoin ETF inflows have consistently been positive, with May 21 recording the highest single-day inflow at $305.7 million, according to Farside data. Thielen emphasized that Bitcoin price movements are not random and are significantly influenced by crucial factors, primarily inflation.</p>
<h2 id="macroeconomic-data-and-bitcoin">Macroeconomic Data and Bitcoin</h2>
<p style="text-align: justify">On April 10, the CPI was reported at 3.5%, slightly above expectations. Consequently, Bitcoin’s price dropped by 6.67% to $56,000 on April 30. Despite impressive inflows of $611 million on January 11, the rest of January saw disappointing figures. Thielen attributes this trend to higher-than-expected CPI results.</p>
<p style="text-align: justify">He explained that Bitcoin’s performance in different months of the year has been closely tied to CPI results, with January being weak, March showing strength, and subsequent months being more consolidated.</p>
<h2 id="key-insights-for-investors">Key Insights for Investors</h2>
<p style="text-align: justify">Thielen’s analysis offers several actionable insights:</p>
<ul>
 <li>Monitor upcoming CPI data closely to anticipate Bitcoin price movements.</li>
 <li>Expect increased Bitcoin ETF inflows in periods leading up to CPI announcements.</li>
 <li>Understand that higher-than-expected inflation rates can negatively impact Bitcoin prices.</li>
 <li>Historical <a href="https://newslinker.co/category/ai/" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="exclude">data shows</a> that Bitcoin reacts sensitively to macroeconomic indicators.</li>
</ul>
<p style="text-align: justify">In conclusion, the crypto market’s reliance on macroeconomic indicators like the CPI cannot be understated. Investors should stay informed about inflation trends to strategically navigate Bitcoin <a href="https://finance.coin-turk.com/" rel="noopener noreferrer nofollow" target="_blank" data-wpel-link="exclude">investments</a>.</p>
<h5><span style="font-weight:bold;font-size:16px">The post first appeared on BH NEWS: </span> <a href="https://en.bitcoinhaber.net/bitcoin-needs-us-inflation-slowdown" data-wpel-link="internal" rel="noopener noreferrer nofollow">Bitcoin Needs US Inflation Slowdown</a></h5>

Bitcoin Needs US Inflation Slowdown

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