The cryptocurrency reached a high of over $14,000 on Dec. 16th as the US inflation rate hit 7% in December, continuing an upward trend throughout 2018.
Bitcoin shot to $44,000 as US inflation hits 7% in December. The price of bitcoin has always been volatile, but the recent spike is due to a combination of factors including increased demand from China and the introduction of futures trading on the CBOE. Read more in detail here: bitcoin price.
According to the most recent data from the US Bureau of Labor Statistics, the CPI (Consumer Price Index) reached 7% in December.
Prior to the announcement, the price of Bitcoin (BTC) fluctuated by over $2,000, moving from a low of $41,000 to a high of $43,000 on Wednesday morning. The price increased after the numbers were released, reaching $44,000.
Twitter was filled with rumors before to the announcement. In a survey conducted by @coinbureau, 53% of his 580,000 followers predicted that the CPI will exceed the consensus forecast of inflation of 7%.
Lyn Alden, a macroeconomic expert and bitcoin prophet, was accurate.
Tomorrow’s release of the December CPI gives it a good chance to exceed 7 percent year-over-year.
The year-over-year number will most certainly peak in Q1 2022, however, unless monthly inflation picks up speed from here. pic.twitter.com/7hjA3ehAXI
— Lyn Alden, January 11, 2022 (@LynAldenContact)
The FED’s inflation graph over the last 10 years is startling. The inflation rate has been steadily rising to 7 percent since the epidemic, which is seen in grey.
Bitcoin collapse is imminent, related? A greater rate of inflation might push the price of bitcoin above $30,000.
Prior to the data update, Nic Carter of Castle Island Ventures was more ironic. He jokingly said he was “looking forward to the inflationista cope if CPI prints double digits” in anticipation of more increases in inflation.
Worldwide industrialized nations, but especially the United States, are now very concerned about inflation rates. The inflation rate has risen to 7%, its highest level since the 1980s.
Traditional markets including the S&P kicked off in the green, up 0.36%, while BTC was up 2.8% during the morning’s action.
Bitcoin shot to $44,000 as US inflation hit 7% in December. The price spike is due to the announcement of a new cryptocurrency by Goldman Sachs that will trade on the stock market. Reference: bitcoin $44k.
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