The US December inflation rate will be announced on Thursday; What changes can we expect for Bitcoin?

On Thursday of this week at 17:00 Tehran time, the inflation rate of our past American will be announced. Some analysts say that if the inflation rate during this period is lower than expected by experts, Bitcoin can grow to $20,000.

To the report Crypto Potato Since the peak of inflation (CPI) in the US in June 2022 (June), this key indicator of the economy has been declining; It decreased from 9.1% in June to 7.1% in November.

As usual, the new US inflation rate can be influential in the decisions of the central bank of this country for the interest rate. During 2022, the bank interest rate in this country reached 4.5% with several increases by the central bank. Even now, it is reasonable to expect another increase in interest rates in this country in 2023; However, it is expected that the rate of increase will decrease gradually in the new year.

The Central Bank of America office in Cleveland expects the month-to-month inflation rate in this country to be equal to 0.5% and the point-to-point inflation rate in this month to be above 6%. Bloomberg, however, has a different estimate and says that the month-to-month inflation rate in this period will be equal to 0.3% and the point-to-point inflation rate will be 5.7%. However, Bloomberg’s estimate shows the highest increase in inflation in December in the last 41 years.

Bloomberg experts wrote in their report:

The improvement in the inflation rate in America is not the result of the increase in the bank interest rate by the central bank, but this issue can be justified by the end of China’s anti-corona policies (reopening of businesses) and the record-low temperature of the air this winter. The decrease in the price of energy in the world markets has greatly lowered the expectations for the increase in inflation in the near future and shows the two-sidedness of inflation more than ever. The continuation of this process can also contain evidence for the Central Bank of America, which should pay attention to them before deciding to stop increasing or even reducing the bank interest rate in this country.

After 10 days since the beginning of 2023, Bitcoin has had a relatively acceptable performance and has experienced a growth of around $1,000 during this time. For the first time in the last 30 days, the price of this digital currency reached over $17,000.

The idea of ​​a volatile weekend for Bitcoin is reasonable given the inflation announcements of the past periods. In fact, some analysts say that if December’s inflation rate is lower than expected, Bitcoin could pull itself up to $20,000; Especially if the US stock market rises at the same time.