Wall Street's 3.8% CPI Call Pressures Bitcoin, Ether and XRP as Fed Cuts Recede

8 articles · Updated · CoinGape · May 12

$80,600 Bitcoin, $2,283 Ether and $1.44 XRP all weakened ahead of the U.S. CPI release, with Ether down more than 2% and XRP off 0.5%.
JPMorgan, Morgan Stanley, Citi and other banks expect headline CPI at 3.8%, above economists' 3.7% estimate and March's 3.3%, reinforcing a higher-for-longer Fed outlook.
Bank of America pushed its first Fed cut call to mid-2027 from late 2026, citing sticky inflation, elevated oil prices and a resilient labor market.
Oil has stayed elevated after U.S.-Iran peace talks stalled, while Bitcoin faces a $190 million sell wall near $81,270 and analysts say Ether has lost key chart support.
The inflation-driven pressure adds to a broader risk-off move that had already hit crypto as Middle East tensions lifted Brent crude toward $107 a barrel.

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