[Bitcoin Now] Market on Hold Ahead of US Inflation Index Release... $19,000 'Precarious'

[Image source=Reuters Yonhap News]

[Asia Economy Reporter Myung-Hwan Lee] The price of the leading cryptocurrency Bitcoin is falling ahead of the U.S. September Consumer Price Index (CPI) announcement.

According to the global cryptocurrency market tracking site CoinMarketCap, as of 10:37 a.m. on the 11th, the price of Bitcoin was recorded at $19,034 (approximately 27.24 million KRW), down 2.39% from the previous day.

The Bitcoin price appears to be declining as investors adopt a wait-and-see stance ahead of the U.S. CPI announcement on the 13th. Cryptocurrency specialized media CoinDesk noted, "The September CPI is widely expected to show a slight decrease compared to last month, but this is insufficient to dispel recession concerns," adding, "This could negatively impact risk assets including cryptocurrencies."

Octavio Marenzi, CEO of consulting firm Opimas, also predicted, "Inflation will remain at a considerably high level," and "The Federal Reserve (Fed) is expected to continue raising interest rates, which could suppress the cryptocurrency market."

The U.S. stock market, which shows a synchronized trend with Bitcoin prices, also declined as investors exhibited caution ahead of the CPI announcement and corporate earnings season. On the 10th (local time), the Nasdaq index, centered on technology stocks, closed at 10,542.10, down 1.04% (110.30 points) from the previous trading day. The Dow Jones Industrial Average fell 0.23% (93.91 points) to 29,202.88, and the S&P 500 index retreated 0.75% (27.27 points) to 3,612.39.

Meanwhile, according to cryptocurrency data provider Alternative, the Fear & Greed Index, which measures investor sentiment, rose by 2 points from 22 (extreme fear) the previous day to 24 (extreme fear) on the same day. Alternative's Fear & Greed Index ranges from 0, indicating extreme fear and pessimism about investing, to 100, indicating optimism.