Tonight's US CPI data will be the key catalyst for the crypto market.



The current market expectation is 3.1%. This figure may seem ordinary, but it actually relates to the Federal Reserve's next policy direction. If inflation data remains high, the Fed's room to cut interest rates will be severely limited, and liquidity expectations will cool down, putting short-term pressure on crypto assets. Conversely, if inflation data shows signs of being under control, the Fed is likely to continue exploring the possibility of rate cuts, which will inject new liquidity expectations into the crypto market.

A deeper issue is that the Fed's "preemptive rate cut" phase may have already ended. According to market analysis, future rate cut decisions will require further deterioration in labor market data to be justified. This means tonight's data needs to be at a delicate balance — demonstrating that inflation is under control while hinting at underlying economic risks — to reignite market expectations for rate cuts.

For investors, strategy is crucial:

**Maintain restraint before the data release** — avoid risking real funds on an uncertain outcome, as volatility could be significant.

**Hold steady on spot positions** — regardless of the data, Bitcoin's long-term value logic won't change because of a single economic report, and frequent trading may lead to being shaken out.

**Watch for sharp decline opportunities** — if the market sharply retraces due to inflation fears, this could be an ideal window for long-term investors to build positions gradually.

The core advice is: stay disciplined and patient amid uncertainty; this is more valuable than trying to predict the exact direction of the data once and for all.
BTC0,54%
View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
  • Reward
  • 3
  • Repost
  • Share
Comment
0/400
FantasyGuardianvip
· 2025-12-18 07:51
Is CPI once again the deciding factor? Honestly, it all comes down to the Fed's mood. --- 3.1% this number... sounds pretty uncertain, feels like any direction can be misleading. --- I just want to know where this drop will bottom out this time; I'm used to being wiped out. --- Instead of obsessing over this data, it's better to see if you have any leftover funds to buy the dip. Opportunities always favor those who are prepared. --- Alright, alright, another "delicate balance," in other words, no one can predict it accurately. It's better not to put real money in. --- No more rate cut expectations? Then maybe those of us holding coins should face reality. --- Frequent trading leading to being washed out? That's so true. Watching people scream in leverage before each data release is really hilarious.
View OriginalReply0
SignatureCollectorvip
· 2025-12-18 07:48
Here we go again, CPI data is like gambling, every time they talk about key catalysts, and yet we’re still alive --- To put it simply, don’t bet real money on the Federal Reserve’s intentions --- What’s so great about 3.1%? The rate cut thing is already cold --- Every time they say a sharp drop is a buying opportunity, but it still drops and keeps falling. Who can really hold the bottom? --- I agree with maintaining a steady position, but don’t bother with the rest --- Instead of obsessing over tonight’s data, ask yourself: can you really hold and not move?
View OriginalReply0
GasGuzzlervip
· 2025-12-18 07:43
Here we go again, is CPI deciding everything? Wake up, Bitcoin is not the US stock market --- 3.1% what can it do, anyway no matter how much it is, I have to buy the dip --- Wait, no more rate cut expectations? Then what are we trading --- Easy to say, still the same words: Holding coins without moving, time will give the answer --- Volatility is high, so what, I’ve already gone all in, haha --- The key is not to be washed out, I’ve been taught too many times --- Rather than predicting data, it’s better to predict the Federal Reserve’s mood --- It’s the same theory again, said the same when CPI was announced last time, and what was the result? --- Gradually building positions is really a great move, just see if you can hold on --- All this talk boils down to one sentence: just wait and watch the show
View OriginalReply0
  • Pin

Trade Crypto Anywhere Anytime
qrCode
Scan to download Gate App
Community
  • 简体中文
  • English
  • Tiếng Việt
  • 繁體中文
  • Español
  • Русский
  • Français (Afrique)
  • Português (Portugal)
  • Bahasa Indonesia
  • 日本語
  • بالعربية
  • Українська
  • Português (Brasil)