Markets are not treating this release as a routine data point. Instead, it is being viewed as an early stress test for first-quarter assumptions. In recent weeks, the growing belief that rate cuts could be delayed has pushed investors into a cautious wait-and-see mode, particularly across risk-sensitive assets.

Against this backdrop, Bitcoin and Ethereum have not completely lost upside momentum. Still, both assets appear to be waiting for a clear macro signal before committing to a decisive move.

Inflation Expectations Hold Firm, Pressure Builds on the Fed

Consensus expectations suggest that both headline and core U.S. CPI will remain at 2.7% year over year. That level signals little improvement compared to the previous month and keeps inflation well above the Federal Reserve’s 2% target.

While inflation has been cooling gradually, the pace has not been convincing enough to justify an imminent policy shift. Falling energy prices have offered limited relief to core inflation, complicating the outlook. Although the Fed’s preferred gauge — core PCE — has yet to be released, CPI continues to serve as a critical early signal for markets.

Adding another layer of uncertainty, renewed debate over Federal Reserve independence has surfaced following legal scrutiny involving Chair Jerome Powell. While no immediate policy impact is expected, the issue introduces additional risk sensitivity into already fragile market sentiment.

Bitcoin Remains Compressed Below Resistance

Bitcoin has entered a consolidation phase just below the 95,000 dollar zone after its recent rally. This area is not merely a technical ceiling — it also represents a zone highly sensitive to inflation surprises.

The failure to reclaim the 92,000 dollar level on a sustained basis suggests that upside momentum remains controlled. Still, despite trading below resistance for several days, Bitcoin has yet to show clear signs of structural weakness.

On the downside, the 88,000 dollar level stands out as a key support. A break below that zone could open the door to 86,000 dollars and potentially the stronger demand area near 80,000. On the upside, a decisive move above 95,000 could shift focus back toward the psychologically significant 100,000 level.

Current price structure points to tightening conditions, indicating that a directional move may be approaching. The CPI data could act as the catalyst that resolves this compression.

Ethereum Tests the 3,200 Dollar Threshold

Ethereum’s setup appears more fragile, though not outright bearish. ETH has been trading within a narrow range between 2,600 and 3,350 dollars for nearly two months, reflecting broader market indecision.

The recent bounce from the 3,060 support level suggests short-term buyers remain active. However, this was the second test of that zone, raising concerns about weakening support. Failure to clear the 3,180 resistance could trigger a deeper pullback, with 2,850 dollars emerging as the next area of interest.

Conversely, sustained acceptance above 3,200 dollars could quickly improve sentiment. Such a move would likely put the 3,300 region back into play, followed by the major resistance area near 3,800 if broader risk appetite improves. A CPI reading that supports easing expectations could help unlock that upside scenario.

Is CPI the Only Catalyst Tomorrow?

The day’s agenda extends beyond CPI. Markets will also digest the U.S. Producer Price Index, the release of the Fed’s Beige Book, and developments surrounding the completion of the Fed’s Treasury purchase operations. Additionally, attention remains on a potential U.S. Supreme Court ruling related to tariff policies.

This crowded macro calendar makes it difficult for markets to focus on a single headline. Still, inflation remains the central variable. An upside surprise in CPI could push rate-cut expectations further out, increasing short-term selling pressure across crypto markets.

A softer print, on the other hand, may offer temporary relief — though whether that relief proves durable is far from certain. At this stage, markets are no longer willing to price in optimism based on a single favorable data point.

As a result, the ongoing compression in Bitcoin and Ethereum is not merely technical. It reflects the pricing of uncertainty itself. Tomorrow’s data may break the stalemate, but any lasting trend will ultimately depend on how the Federal Reserve responds to the evolving inflation picture.

You can also freely share your thoughts and comments about the topic in the comment section. Additionally, don’t forget to follow us on our Telegram, YouTube, and Twitter channels for the latest news and updates.

The post Crypto Faces a Critical Day Tomorrow: U.S. CPI in Focus appeared first on Coin Engineer.

Today at 12:30 UTC, the US Consumer Price Index (CPI) and Unemployment Claims data will be released. It can determine the short-term direction of risky assets, especially cryptocurrency markets.

US CPI Data

• Expectation: 2.5%

• Previous: 2.8%

US inflation continues to play a key role in shaping the Federal Reserve’s interest rate policy in recent months. A CPI reading below expectations (below 2.5%) would signal that disinflation is ongoing. This could be interpreted as giving the Fed more room to cut interest rates, potentially increasing risk appetite across markets. As a result, upward movements may be observed in cryptocurrencies, equities, and gold.

On the other hand, if CPI comes in above expectations (above 2.5%), it would indicate that inflationary pressures are still present. This would strengthen the narrative that the Fed may remain cautious about rate cuts, possibly triggering selling pressure across markets.

US Initial Jobless Claims

• Expectation: 223,000

• Previous: 219,000

Jobless claims are a key leading indicator of the health of the US labor market. A figure below expectations would suggest continued strength in the job market, reinforcing the Fed’s stance of keeping interest rates higher for longer. This scenario could be negative for rate-sensitive assets, such as tech stocks and cryptocurrencies.

Conversely, if claims exceed expectations, it may point to early signs of labor market weakness. That could prompt the Fed to adopt a more dovish tone, which would likely be perceived positively by the markets.

You can also freely share your thoughts and comments about the topic in the comment section. Additionally, don’t forget to follow us on our Telegram, YouTube, and Twitter channels for the latest news and updates.

The post Markets Await These Two Data To Be Announced From The US Today! appeared first on Coin Engineer.

The US inflation data was below expectations and was positive in a way that would not shake the markets. It was 2.9 percent, which would not cause concerns about a possible recession in the markets. So what is the outlook for Bitcoin and the cryptocurrency market? How did Bitcoin react to the data?

Bitcoin After the US CPI Data

Bitcoin continues its course at $61,000 after the US data, which is one of the important developments that will affect the direction of the cryptocurrency markets. According to TradingView data, it continues the day with an increase of nearly 1 percent.

The data came in very positive for the US and cryptocurrency markets, and the positive outlook in the markets continues. It is quite possible to see an increase in Bitcoin to $62-63,000 after the data. However, Bitcoin, which closed a bearish candle at the time the data was announced, continues on its way to rise again with a green candle.

You can also freely share your thoughts and comments about the topic in the comment section. Additionally, don’t forget to follow us on our Telegram, YouTube, and Twitter channels for the latest news and updates.

The post US Announces July 2024 CPI Data appeared first on Coin Engineer.

The annual CPI data to come today was expected to be 0.31 percent last month, but it was 0.3 percent. The previous month’s data was 3.3 percent. Currently, expectations are for the data to be announced as 0.3 percent, like last month.

A Look at the Cryptocurrency Sector Ahead of the US CPI Data

Bitcoin continues the day in the $60,800 band hours before the data is announced. Bitcoin, which closed its daily close at $60,500 yesterday evening, continues its day at the 60,800 support hours before the second most important data release this week.

If the US CPI data is better than expected like yesterday’s PPI data, we may see an increase in Bitcoin to the 62-63 thousand band. Good data that comes beyond expectations or expectations will continue the positive outlook in Bitcoin.

You can also freely share your thoughts and comments about the topic in the comment section. Additionally, don’t forget to follow us on our Telegram, YouTube, and Twitter channels for the latest news and updates.

The post Bitcoin Ahead of US July CPI Data appeared first on Coin Engineer.