Bitcoin Price Prediction as US Core Inflation Rate is Announced – Bullish or Bearish?

Bitcoin (BTC/USD) is currently trading at $69,615, with analysts closely watching the upcoming release of the US Core Inflation Rate. This economic indicator is pivotal for shaping market expectations and could significantly influence Bitcoin’s trajectory.
Investors are keen to understand how the inflation data will impact Federal Reserve policies, which in turn will affect the US dollar and potentially drive Bitcoin prices. This analysis explores whether the latest inflation figures will support a bullish or bearish Bitcoin price prediction.
The US Core Inflation Rate is Announced
Bitcoin (BTC/USD) is currently trading at $69,613, showing potential for further bullish momentum. In addition to these technical factors, upcoming economic data releases could significantly impact Bitcoin’s price.
- At 12:30 PM, the United States will release its Core Consumer Price Index (CPI) month-over-month data, expected to rise by 0.2%, down from 0.3% previously.
- The CPI month-over-month is forecasted to remain flat at 0.0%, compared to the previous 0.1%.
- The year-over-year CPI is anticipated to increase by 3.3%, slightly below the previous 3.4%.
🇺🇸 CPI falls to 3.3%, lower than expected.
Let’s go $100K #Bitcoin 🚀 pic.twitter.com/vPcYYI1b3y
— Vivek⚡️ (@Vivek4real_) June 12, 2024
These inflation figures are critical as they influence Federal Reserve policy decisions. Lower-than-expected inflation data could lead to a more dovish stance from the Fed, potentially weakening the US dollar.
A weaker dollar typically boosts Bitcoin prices, making it more attractive to investors seeking an alternative store of value.
Conversely, higher inflation readings could prompt the Fed to maintain or increase interest rates, potentially strengthening the dollar and putting downward pressure on Bitcoin.
Federal Open Market Committee (FOMC)
The market is eagerly awaiting the Federal Open Market Committee (FOMC) meeting and the Federal Reserve’s announcements at 18:00.
Key events include the Federal Funds Rate decision, expected to remain at 5.50%, the FOMC Economic Projections, and the FOMC Statement.
These events are critical as they will provide insights into the Fed’s future monetary policy direction. A dovish stance from the Fed, possibly indicating a pause or slowdown in interest rate hikes, could weaken the US dollar.
This scenario is generally bullish for Bitcoin, as a weaker dollar makes Bitcoin more attractive as an alternative asset.
On the other hand, if the Fed signals a more hawkish stance, maintaining or increasing the current rate hike pace, the dollar could strengthen, potentially putting downward pressure on Bitcoin prices.
The upcoming FOMC meeting and Fed announcements will be pivotal. A dovish outcome could boost Bitcoin, while a hawkish stance could pose challenges.
Bitcoin Price Prediction
- How Tether Co-Founder William Quigley Views Crypto Regulations in Trump’s Second Term
- Trump Appoints PayPal Veteran David Sacks as ‘White House AI and Crypto Czar’
- Bitcoin Layer-2 Sector Is Overlooked: Why and What to Expect Moving Forward
- New King of Meme Coins Wall Street Pepe Ready to Launch in 3 Days – Could it Reach $1?
- Could XRP Price Be Soaring to $5? Up 17.8% This Week






