Oil tycoons are back in action! CPI data takes a backseat as the crypto world keeps a close eye on this "powder keg" this week.

Opening with a bang! WTI crude oil skyrocketed past $110, a surge of 20%. This isn’t just trading data; it’s like a battlefield out there.
Initially, everyone was waiting for CPI and PCE inflation data this week, but as soon as something happened in the Middle East, energy prices stole the spotlight. Inflation data? Sorry, it’s temporarily taking a backseat as a supporting role.

Basically, now the US has $31 trillion in Treasury bonds, and everyone is panicking, watching oil prices closely. This affects inflation expectations, which in turn are linked to the Fed’s interest rate hikes.

In our crypto circle, we’ve already seen Bitcoin break below $66,000, with bulls bleeding out. My personal opinion: don’t expect a quick V-shaped rebound. As long as that region is still smoldering, safe-haven sentiment remains, and risk assets have to stay subdued. If the OPEC monthly report on Wednesday and the IEA report on Thursday hint that supply can’t keep up, Bitcoin might test previous lows for support.
Even if CPI and PCE surprise on the downside this week, it’s all pointless if oil prices don’t come down, because high oil prices are the “power bank” of inflation.

The key question is, what’s next?

If oil prices stay high, even good data will only give you a chance to escape or hedge. Those holding USDT, don’t rush to buy the dip. Keep an eye on news about the Strait of Hormuz—it's more reliable than candlestick charts. $BTC