CPI data is about to be released, and the crypto market is once again at the forefront of the storm. Tonight's economic data could completely rewrite the fate of your holdings. How have these coins @ETH, @ZEC, @FHE been performing recently? Frankly, it still depends on how inflation data unfolds.

Let's go through the possible scenarios so you have at least some idea.

**Scenario 1: CPI drops below 3.0%**

This is the most optimistic outcome. Inflation truly cools down, and the call for Fed rate cuts will be louder, lifting risk assets overall. Bitcoin has a chance to break through the $90,000 barrier and push toward previous highs. Ethereum is very likely to follow the upward trend. As for smaller coins, there will be attractive room for rebound.

In this case, what should we do? Enter positions on mainstream coins during dips—don't hold back. High-volatility altcoins are also worth paying attention to, as they tend to surge most fiercely during rebounds.

**Scenario 2: CPI between 3.1% and 3.3%**

Data in line with expectations, sounds ordinary but is actually quite awkward. The market has no surprises, and the old playbook of "buy the rumor, sell the fact" will play out again. Volatility will be intense, but the trend will be blurry, making it easy to get shaken out. This tests your mindset—absolutely avoid chasing highs or panic selling. It's better to wait on the sidelines than get caught in the meat grinder.

**Scenario 3: CPI ≥ 3.4%**

Inflation rebounds again. The market will feel uncomfortable, and the "higher for longer" interest rate story will regain popularity, leading to a general decline in risk assets. Altcoins will be hit hardest, with the greatest selling pressure. At this point, reducing altcoin holdings, increasing stablecoin allocations, and saving some ammunition for better entry opportunities is the wise move.

**Practical Advice**

The two hours before and after the data release are a hell of volatility—be very cautious with leverage. Many people like to chase the first wave of the trend, but the result is often being shaken out by false breakouts. Wait until the smoke clears and the situation becomes clearer before acting—don't suffer unnecessary losses.

Don't just focus on cryptocurrencies themselves; the correlated reactions of US stocks and the US dollar index are also crucial—these three usually dance together.

See you tonight at 9:30. Have you already positioned yourself for long positions, or are you waiting quietly on the sidelines for a better opportunity? Share your thoughts in the comments.