Missing October Inflation Data Sparks Bitcoin Volatility
The prolonged US government shutdown delayed release of October CPI and jobs reports, creating a data blackout that leaves the Federal Reserve without key inflation metrics. This uncertainty has driven Bitcoin down 1.1% to $102,100 and contributed to a 10% weekly drop. Prediction markets on Myriad cut the odds of Bitcoin reaching $115,000 before dipping to $85,000 from 61.4% to 58.8%. December rate-cut probability also fell to around 50%. Analysts from GreeksLive and HashKey warn that the missing inflation data fuels Bitcoin volatility and shifts trading toward sentiment-driven moves. Traders should watch for restored economic releases and Fed signals to regain clarity on market direction.
Bearish
The loss of October inflation data heightens macroeconomic uncertainty and undermines the Fed’s data-driven approach. Without CPI and jobs figures, traders lack fundamental guidance, pushing Bitcoin into risk-off behavior. Historically, Bitcoin has fallen on similar data gaps, as market participants await clarity. The 10% weekly drop and reduced prediction-market odds reflect a shift toward cautious sentiment. In the short term, volatility is likely to spike and prices to drift lower. Over the longer term, postponed rate cuts could delay the monetary support that often boosts risk assets, reinforcing a bearish outlook until reliable data flows resume.