Bitcoin holds steady as Consumer Price Index data comes in as expected
The price of Bitcoin showed indecision as consumer inflation data matched expected results, with MoM inflation negative for the first time since May 2020.
The release of December 2022’s Consumer Price Index (CPI) data showed inflation at 6.5% year-on-year (YoY). This came in the same as estimated.
Bitcoin initially dropped 1.4% on the news before recovering. As of press time, it was trading at $18,152.
Analysis of Month-over-Month (MoM) inflation showed, since October 2022, consumer prices had been trending lower. December 2022 was the first negative MoM inflation rate since May 2020, suggesting the onset of deflation.