Greeks.Live: US CPI Release Today Key for Market Sentiment as Trump Inauguration Nears

The market's attention is fixed on today's release of U.S. CPI data, a critical macroeconomic indicator ahead of Donald Trump’s inauguration as U.S. president, according to Greeks.Live macro analyst Adam.Key Market InsightsBitcoin Struggles Below $100,000: BTC failed to break the $100,000 resistance this week, with speculative markets showing heightened risk aversion. U.S. stocks have also experienced sharp declines ahead of the CPI release.BTC ETF Outflows Persist: Short-term market sentiment remains sluggish, but stabilization above $100,000 could quickly restore market confidence.Institutional Trading Trends: Institutions continue to sell in large volumes when opportunities arise, causing a significant drop in medium- and short-term implied volatility (IV). However, a rise in call options trading suggests institutions are hedging against potential upside moves.CPI Data’s ImpactThe U.S. CPI data, releasing today, is expected to set the tone for market sentiment. It is seen as the most important macro data point before Trump’s presidency begins, with investors eagerly awaiting whether his administration will fulfill its crypto-friendly promises.From an event-driven perspective, the market was undervalued in January but appears overvalued for March, suggesting potential volatility shifts based on forthcoming economic and policy developments.