According to the U.S. Department of Labor, the inflation rate for consumer goods and services hit a 30-year high in October, up 6,2% from the same period last year. This marked the fifth consecutive monthly increase of 5% or more, and was the fastest yearly increase since 1990.
As noted in its announcement on Wednesday, the Department of Labor published that the price increases were large-scale, with the largest increases occurring in the categories of energy, shelter, food, used cars and trucks, and new vehicles. Notably, the energy index rose 4,8 percent last month, while the gasoline index rose 6,1 percent, as did other major energy sectors.
This gave impetus to the best crypto
From month to month in 2021, inflation increased seasonally adjusted 0,9 percent in October, representing more than double the increase of 0,4 percent in September, while at the same time hitting the pace of the 0,9 percent in June. This chart from the Bureau of Labor Statistics shows the monthly breakdown over the past four years.
After the inflation numbers were released yesterday at 8:30 am ET, Bitcoin jumped to $ 68.744 at 9:19 am and Ethereum jumped to $ 4.848,61 at 11:14 am, setting new records. However, at the time of writing, both are down nearly 4% respectively. Both currencies have been very bullish in recent months, doubling in price since last June.
Possible reasons for the earlier price hike for these two major cryptocurrencies are Bitcoin's real estate supply of 21 million coins and Ethereum's recent move to limit its supply by burning miners' rewards as part of its EIP-1559 update. in August. Both characteristics are deflationary in nature and position both digital currencies as effective shields against macro-inflationary pressures.
This is the very reason why Bitcoin was created, to empower individuals with some degree of economic equality and protect their financial well-being from the wandering of government policies.
Why should you worry?
Despite what politicians say, this inflationary trend is not transitory, it is systemic. If you don't have any kind of inflation hedge in your portfolio, contact a financial advisor and find an investment to protect your store of value and purchasing power.
Now that you know this, don't you want to hedge against inflation by buying or trading BTC? If so, you can do it on reputable platforms like Bitcoin system. This allows you to enter this world on tiptoe, investing a very low minimum capital.
