Crypto’s Wild Ride: Inflation, Holidays, and RAM Shortages-Oh My!

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Ah, the theater of finance-where numbers dance and fortunes waltz, only to stumble on the hem of uncertainty. This week, all eyes, weary yet curious, turn to the PCE inflation report, the grand finale after last week’s CPI prelude. The Federal Reserve minutes on Wednesday? Merely the intermission gossip, whispered in hushed tones.

January’s CPI, a timid creature, arrived below expectations-headline inflation at 2.38%, core CPI at 2.5%, the lowest since the world still believed in normalcy. The markets, ever fickle, rejoiced on Friday, but crypto, that restless enfant terrible, squandered its gains by weekend’s end. Ah, the brevity of joy in this digital bazaar.

“Geopolitical tensions linger, macroeconomic uncertainty looms,” intoned the Kobeissi Letter, a modern-day Cassandra. “Volatility, dear friends, is the only constant this week.”

Economic Follies: Feb. 16 to 20

America pauses on Monday, a holiday for presidents past, while the ADP employment update and Retail Sales report await their cue on Tuesday. Wednesday, a day of revelations, brings consumer spending data and the delayed Durable Goods Orders-a tale of delayed gratification. The Fed minutes, too, shall grace us, accompanied by ten central bank speakers, each a prophet in their own right, or perhaps merely actors in a well-rehearsed drama.

Thursday unveils the GDP report, a glimpse into the fourth quarter’s economic ballet. Yet, the true star of the week is the December PCE inflation report, a heavyweight in this circus of data. Goldman Sachs, ever the optimist, raised its PCE outlook, citing rising consumer electronics and IT prices-a global RAM shortage, no less, driven by AI’s insatiable hunger. Ah, the irony of progress.

“Core PCE rose 0.40% in January,” declared the economists, their voices steady, their eyes on the horizon. Meanwhile, The Street penned a somber note: “No rate cuts in March, it seems.” The CME Fed Watch Tool, ever pragmatic, agrees with a 90% certainty.

Crypto’s Tragicomedy

Crypto, that volatile muse, has shed its recent gains, its total capitalization retreating 2.5% to a modest $2.41 trillion. Bitcoin, once flirting with $70,000, now lingers at $68,300, a rangebound soul in search of direction. Ether, poor Ether, has plummeted from its lofty $2,100 to a mere $1,950, while altcoins bleed out in silence.

And so, the week unfolds-a melodrama of numbers, tensions, and shortages. Will the Fed hold its ground? Will crypto find its footing? Only time, that relentless narrator, will tell. Until then, we watch, we wait, and we marvel at the absurdity of it all.

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2026-02-16 11:31