- Bitcoin averages a -9% drop post-CPI, per @ali_charts’ recent analysis.
- CPI-driven volatility ties to Fed policy expectations, with 12% swings since 2020.
- Gandhi’s image on the chart hints at a critique of crypto speculation.
The crypto community is buzzing over a striking observation from @ali_charts on X, revealing that Bitcoin ($BTC) has averaged a -9% drop following recent U.S. Consumer Price Index (CPI) reports.
This trend, illustrated in a detailed chart spanning late July to early September, underscores Bitcoin’s sensitivity to macroeconomic data, a pattern that has traders on edge. The CPI, a critical inflation gauge released by the U.S. Bureau of Labor Statistics, often triggers market volatility as it hints at potential Federal Reserve rate adjustments.
Historical data from CoinDesk shows Bitcoin experiencing an average 12% price swing within 48 hours of CPI releases since 2020, aligning with the current observation.The chart, adorned with an unexpected overlay of Mahatma Gandhi—symbolizing non-materialism—adds an intriguing layer. While @ali_charts doesn’t explicitly explain this choice, it might subtly critique the speculative fervor driving crypto markets, contrasting with Gandhi’s philosophy.
Regardless, the data speaks volumes: each CPI release in recent months has coincided with a notable downturn, likely driven by investor reactions to inflation fears and tighter monetary policy expectations. A 2023 National Bureau of Economic Research study supports this, noting crypto’s heightened reactivity to such economic indicators.
For Web3 enthusiasts, this trend signals a critical timing risk. Traders must brace for volatility around CPI announcements, with the next report potentially reinforcing this pattern. However, as CoinGecko’s analysis suggests, Bitcoin’s price movements are also influenced by broader tokenomics and central banking dynamics, diluting the CPI’s sole impact. With August 2025 CPI at 2.9%, markets anticipate a hawkish Fed stance, which could exacerbate the -9% dip. This interplay of macroeconomics and blockchain assets highlights the maturing Web3 landscape, where traditional finance and decentralized systems collide.
As the crypto market evolves, staying ahead of these patterns will be key. Will Bitcoin break this trend, or is the post-CPI plunge here to stay? Only time—and the next CPI data drop—will tell.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. CoinCryptoNewz is not responsible for any losses incurred. Readers should do their own research before making financial decisions.