Analyst: Weak inflation data may prompt the Federal Reserve to cut interest rates, but the macroeconomic outlook remains bleak

According to The Block, the crypto market calmed down after Thursday's CPI data was released, showing a general decline in US inflation last month for the first time since 2020 and 2021. BRN analyst Valentin Fournier said that although March data did not include the latest tariff rebound, the Federal Reserve may "cut interest rates and ease financial conditions" in May, which could boost assets such as Bitcoin. Fournier also speculated that Wall Street crypto funds may soon see a large influx of capital. He stated that with positive factors such as easing inflation, possible peak tariffs, and new SEC chairman taking office converging together; despite high volatility, long-term risks are limited and short-term impacts of Sino-US trade tensions might be exaggerated. However, some experts pointed out that March CPI may have limited impact on Fed decisions due to tariffs and trade wars. Mike Cahill from Douro Labs said that bond market collapse, cooling inflation and delayed tariffs are not macro resets but signals of structural imbalance; global system is still under pressure. Mike Marshall from Amberdata believes based on traditional financial turmoil; long term macro background for cryptocurrencies remains bearish.