The situation of last month was repeated: a decline in inflation compared to September, but it was insufficient compared to what was expected.
Key facts:
- The inflation rate for September was 8.2%, higher than expected by economists.
- Bitcoin dipped as low as $18,100 after the inflation announcement.
To start the day on October 13, the price of bitcoin fell due to the expectation of the inflation report for the month of September in the United States. The price went from USD 19,112 to USD 18,676 in a few hours, a decrease of 2.28%.
The September inflation report was released at 8:30 am (Eastern time) and came out at 8.2%, 0.1% less than in August. Bitcoin, which had already been falling since the early hours of this Thursday, fell a little more: it reached the level of USD 18,140 after the announcement , to then oscillate in a narrow band around USD 18,400. At the time of writing, bitcoin is trading at $18,341.14.
The consumer price index, or CPI, peaked at 9.1% last June, although it later fell to 8.5% and 8.3%, respectively, in July and August. Investors were attentive to the September inflation figure to make decisions in the market.
A decline in inflation does not necessarily represent a boost to the markets. Last month, despite a 0.2% decline in the price index, markets were down , including bitcoin, as economists expected lower inflation.
Among the opinions of economists and analysts, reflected this Wednesday the 12th by CriptoNoticias, there was a consensus that inflation would continue to fall, with the expectation of 8.1%. Now that the report reflected a lower -than-expected drop in inflation , the market reacted negatively.