New Shopper Value Index (CPI) values — a quantity vital for monitoring inflation in costs that customers are paying — launched by the US Bureau of Labor Statistics indicated a 3% improve over the past 12 months.
For January completely, the rise within the CPI was 0.5%.
Regardless of bitcoin (BTC) typically being marketed as an inflation hedge, its relationship to inflation is extra complicated than that. As we speak, BTC has fallen roughly 1.6% based on information from CoinMarketCap.
Nevertheless, in the event you “zoom out” for the overall 12 months that this inflation information represents, BTC has elevated by roughly 97%, a a lot bigger improve than the relative devaluation of the greenback.
Ethereum, for its half, has seen its value fall roughly 2.5% at this time however a rise of three.5% over the past 12 months. That is surprisingly near the change within the worth of the greenback.
It’s vital to notice that this worth doesn’t embrace the rise in ether you could possibly accumulate by staking.
TRUMP, the memecoin affiliated with the present president, has additionally carried out poorly on these inflation numbers, falling over 5% at this time and down roughly 80% from highs.
These property counsel that extra issues than simply inflation drive the value of cryptocurrency property.