Here’s what to expect from Crypto markets and Bitcoin prices

The FED has managed to keep US inflation in check, which has been declining on a monthly basis, indicating a bullish outlook for crypto markets. The price has been declining almost since the beginning of the year, giving a strong boost to the crypto markets. In addition, most cryptos, including Asterisk and Bitcoin, strengthen before the release of fresh CPI rates, which usually result in large increases of around 4% to 5%.

After facing a huge retracement of more than 6% from the area high at $64,500, the price of BTC has started a healthy recovery. Is this a sign of brutality ahead of the CPI data release? Will CPI data continue to fall? Will crypto markets get relief from the selloff?

In recent history, sinking CPI rates have been highly inflated for the value of BTC and the entire crypto market. Falling prices generally indicate a decline in consumer prices, which can further drag down inflation. US inflation data is due to be released soon and the YOY rate is expected to be 2.3% from last year's 2.5%. If hot rates are higher than expected, it could be bearish for crypto markets. Additionally, if the price continues at 2.3% or below, it could be very difficult for Bitcoin.

In September, the CPI rates were 2.5%, which stood in line with the expected rates, which led to a 25% increase in the price of Bitcoin. Now that the expected rates are lower than these, the question arises: will the price of BTC rise another 25% and form a new ATH?

According to market veterans, the CPI rate is expected to drop below 2.3%, which could be huge for Bitcoin and the entire crypto market. However, the question is whether the bulls can hold the rally above profit or another short-term improvement.