Analyst: Declining inflation data and expectations for Trump's cryptocurrency policy drive the crypto market up
ChainCatcher news, according to The Block, Presto Research analyst Min Jung stated that the rise in the crypto market is mainly driven by lower-than-expected CPI data, which temporarily alleviated inflation concerns. The core consumer price index for December was 3.2%, lower than expected and also below November's 3.3%. Additionally, news related to Trump played an important role, including his plan to make cryptocurrency a "national priority" and his openness to exploring support for establishing a cryptocurrency reserve in the United States.Min Jung indicated that the broader market is cautiously optimistic, with macro-level focus primarily on inflation issues. The lower CPI data provided a temporary relief, but investors are still closely monitoring any signals that may indicate sustained inflationary pressures. Jung predicts that more news related to Trump potentially establishing a national Bitcoin reserve may further exacerbate market volatility in the short term.