NVDA Q3 Earnings Alert: Why our AI stock picker is still holding Nvidia stockRead More

Three Events Set To Create High Impact On Crypto Today

Published 04/12/2023, 09:37 AM
Updated 04/12/2023, 10:00 AM
Three Events Set To Create High Impact On Crypto Today
BTC/USD
-

  • The U.S. Bureau of Labor Statistics is set to release its crucial CPI data later today.
  • Ethereum’s widely anticipated Shanghai Capella upgrade will also go live today.
  • The Federal Open Market Committee will provide an update on upcoming interest rates and policies.

Today is a big day for stakeholders in the crypto industry. Ethereum’s long-awaited Shapella Fork is set to go live later today. The update is believed to have a significant impact on ETH’s price. Meanwhile, two key events from the world of traditional finance are also expected to influence the crypto outlook in the short term.

The first one is the Consumer Price Index (CPI) data which will be released by the United States Bureau of Labor Statistics in the next few hours. This data is a key indicator of changes in the prices of consumer goods and services, along with inflation trends. If the data indicates growth in inflation, investors tend to seek safe haven in alternative assets like gold and crypto.

CPI data often influence the price of leading cryptocurrencies including Bitcoin. BTC has emerged as an alternative safe haven asset. A significant drop in inflation may lead to a considerable decline in BTC’s price. When the last CPI data was released on March 14, 2023, BTC jumped nearly 5%.

The other traditional finance indicator that may influence the crypto market today is the meeting minutes released by the U.S. Federal Open Market Committee (FOMC). The FOMC’s data will provide insight into the Federal Reserve’s temperature regarding monetary policy and interest rates. A shift in stance policy-wise, such as higher interest rates, will affect the lending capacity of banks leading to a potential decline in BTC’s price.

Ethereum’s Shanghai Capella Upgrade, dubbed the Shapella Fork, is set to make waves. ETH has already dropped more than 2.5% today ahead of the upgrade. Investors are anticipating a decline in price following the unlocking of $34 billion worth of Ether.

The post Three Events Set To Create High Impact On Crypto Today appeared first on Coin Edition.

See original on CoinEdition

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.