Social Media Sentiment Positive Indicating Bullish Momentum Ahead

• Inflation figures for June will be released by the US Labor Department this week.
• Economists predict that the CPI would rise by 1.1% every month.

As of Monday, on-data analysis provider, Santiment tweeted that the degree of optimism among social media users is at its greatest since November’s initial decline after an all-time high for Bitcoin.

Santiment tweeted:

“Bitcoin’s social sentiment is seeing an unprecedented level of optimism this week as we head into the second half of July and the Fed’s next decision. An ideal setup would be the crowd remaining skeptical as prices climb with little resistance.” 

All-eyes on the Upcoming Fed Figures

Notably, after such optimism, the digital asset began an eight-month-long fall in November. As a reminder, inflation figures for June will be released by the US Labor Department this week. On the other hand, economists predict that the Consumer Price Index (CPI) would rise by 1.1% every month, resulting in an annual rate increase of 8.6% to 8.8%, far below the Fed’s 2-percent objective.

As a result, many predict that the Federal Reserve will raise interest rates once again at its next FOMC meeting. Remember that the Fed chose last month to raise rates by 75 basis points, the most significant increase since November 1994. There was a noticeable rise in recession fears as a result.

Jerome Powell, the Fed’s chairman, sought to allay such fears by stating that he doesn’t believe rates would be raised by that amount regularly in the future.

Consider that since November, when the Federal Reserve took a more aggressive approach to interest rates, considerable cash has been diverted from the crypto markets. Since then, a total of $2 trillion has been destroyed in the crypto market. According to CMC, the Bitcoin price today is $20,421.25 USD with a 24-hour trading volume of $27,430,674,212 USD. Bitcoin has been down 4.11% in the last 24 hours.

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