Tonight at 21:30, the US will release the December CPI inflation data, with a market consensus of 2.7%. This data is undoubtedly a "heavy bomb" for the crypto market and will directly influence the future direction of Federal Reserve monetary policy.

Currently, a rate cut in January seems almost impossible, but before Powell's departure, there are two more rate decision windows in March and April. If tonight's CPI data meets expectations or even falls below 2.7%, it means inflation pressures are further easing, and the hope for the Fed to cut rates again this year still exists.

Once rate cut expectations heat up, market liquidity is likely to increase, and funds may flow into the crypto market, driving prices higher. Conversely, if the data exceeds expectations and rate cut hopes fade, the market could face selling pressure, and prices may decline.

Therefore, tonight's data is crucial, and everyone should pay close attention. If you find this analysis helpful, please give a free follow, bookmark, like, and join the comments to share your views on tonight's data and the market outlook!