Odaily Planet Daily report: Prior to the release of the U.S. April CPI data, the crypto market's upward momentum temporarily stalled. Bitcoin has remained range-bound between $80,000 and $82,000, failing to break through effectively since last Wednesday. The market believes that although capital flows still suggest a potential breakout ahead, inflation and macroeconomic risks are suppressing risk appetite.
The United States will release the April Consumer Price Index (CPI) at 8:30 PM Beijing Time tonight. According to FactSet data, market expectations forecast that April CPI will rise year-over-year to 3.7%, up from 3.3% in March. If this forecast is realized, it will mark the largest increase since January 2024 and significantly exceed the 2.7% average over the past 12 months. Core CPI is expected to rise year-over-year to 2.7%, up from the prior reading of 2.6%.
Analysts are concerned that, amid persistently high oil prices and Trump's description of the U.S.-Iran ceasefire as "extremely fragile," an unexpected rise in inflation data could further fuel market risk-off sentiment and weigh on risk asset performance.
Lukman Otunuga, Head of Market Research at FXTM, said the current market is entering a sensitive phase where geopolitical factors, inflation risks, and central bank expectations intersect; high oil prices, uncertainty surrounding Iran’s situation, and key U.S. economic data could intensify volatility in commodities, currencies, and global stock markets.
In addition to macro factors, XRP and SOL are once again approaching key supply zones. XRP tested $1.50 today but has failed to break through this level multiple times since February this year; SOL is once again nearing the resistance level around $97.
Meanwhile, institutional interest in related assets has intensified. The U.S. spot XRP ETF recorded a net inflow of $25.8 million on Monday, the highest since January 5; Bitcoin and Solana ETFs also maintained net inflows, while the Ethereum ETF saw a net outflow of $16.9 million. (CoinDesk)