Inflation accelerated again in May after slowing down in April, which could have a negative impact on cryptocurrency markets already reeling from the Federal Reserve’s tighter monetary policy.
The Consumer Price Index (CPI) rose 8.6% in the 12 months through May, which is the largest 12-month increase since December of 1981, the Bureau of Labor Statistics (BLS) reported Friday.
The largest monthly gains for CPI, an index that tracks price movements across a broad range of goods and services, came from shelter, food, and gasoline. After dipping in April, the energy index climbed 3.9% on a month-to-month basis. The index for electricity increased by 1.3% in May, indicating the price of electricity has increased by 12% within the past year—which will raise the cost of cryptocurrency mining.
“The higher cost of energy is going to make mining a more expensive, less profitable business,” said Jason Schenker, chief economist at Prestige Economics. “As for crypto in general, if you see...
Your content is great. However, if any of the content contained herein violates any rights of yours, including those of copyright, please contact us immediately by e-mail at media[@]kissrpr.com.
INN caught up with cryptocurrency investment expert Dan Hoover to review the current landscape and where the market may be heading. The cryptocurrency investment marketplace has gone through severa...