BTC Volatility Analysis for CPI, 12th January 2023

Data Analysis

The data released by Bureau of Labor Statistics for Consumer Price Index on 12th January, 2023 has come in at a decrease to -0.3% for December 2022. Compared to the previous release for November 2022 at -0.1%, we can see that prices & inflation is still decreasing month over month.

To see the impact and volatility of BTC's price during the CPI release, we will first observe the difference in volume and price changes on the 4-hours chart, followed by the 15-minutes chart. Change in prices will be be determined by the high and low prices instead of the opening and closing prices.

4-Hours Chart Analysis

In the period prior to the release, the trading volume was 48,375 BTC with prices swinging between 18,057.95 and 18,337.03, representing a swing of 1.52%. Subsequently, the trading volume increased significantly by 162% to 126,667 BTC. Price action ranged from a low of 17,892.05 to a high of 18,380.47, a significant difference of 2.66%

15-Minutes Chart Analysis

Analysing on a lower time frame to get a more accurate picture, 8,328 BTC in trading volume was observed prior to the data release. Prices ranged between a low of 18,057.95 to a high of 18,337.03, a 1.52% change. Immediately following, trading volume increased significantly by 212% to 25,982 BTC. At this time, Bitcoin hit a low of 17,892.05 with a high of 18,380.47, a significant change of 2.66%.

About Consumer Price Index

The Consumer Price Index (CPI) measures the monthly change in prices paid by U.S. consumers. The Bureau of Labor Statistics (BLS) calculates the CPI as a weighted average of prices for a basket of goods and services representative of aggregate U.S. consumer spending. The CPI is one of the most popular measures of inflation and deflation. The index is published monthly by the U.S. Bureau of Labor Statistics (BLS).