Crypto Week Alert: CPI Data, Tornado Trial & Altcoin Moves!

Here’s what to expect from a potentially market-moving week in crypto — a historic trial, new economic data, and big altcoin moves. LeeChiaJian summarizes the most significant developments and what they mean, to help you come up with a game plan to float your ideas in these choppy waters. With Knowyourcoin.com, you’ll experience an ideal combination of cryptocurrency knowledge and protective vision. Mine Bitcoin like a champ, stake your ETH and altcoins during the bear market when others are asleep, and protect your crypto assets with world-class hardware wallets! No gimmicks, no catches—just the knowledge to master your ecosystem and dominate the market.
Economic Data: CPI, PPI, and Jobless Claims
This week’s economic calendar is jam packed, with tomorrow’s releases standing the chance to shake up the crypto market in a big way. Keep a close eye on these figures:
- CPI (Consumer Price Index): This measures the average change over time in the prices paid by urban consumers for a basket of consumer goods and services. It's a key indicator of inflation.
- PPI (Producer Price Index): This measures the average change over time in the selling prices received by domestic producers for their output. It offers insights into wholesale price pressures.
- Initial Jobless Claims: Released on Jul 10, 2025, the number of individuals who filed for unemployment insurance for the first time during the past week, with an actual value of 227K, a forecast of 236K, and a previous value of 232K.
- Outstanding Unemployment Claims: The number of ongoing unemployment claims, which rose by 10,000 to 1,965,000, the most since 2021.
How Economic Data Impacts Crypto
Historically, Bitcoin price has reacted to CPI data releases, with instances of both increases and decreases in price regardless of the direction of the inflation rate shift. Indeed, a growing CPI has historically corresponded with heightened volatility in the crypto market, as indicated in 2023. That’s because CPI data carries a disproportionate influence over the moods of investors. A protracted high inflation rate creates an environment where investors of all types avoid riskier assets such as cryptos. CPI data is extremely important to interest rate decision-making. As increased interest rates increase the cost of borrowing, decreasing demand for riskier assets such as cryptocurrencies, the crypto market feels a strong negative effect. The impending CPI data release will be key for traders. This data lets them choose their investment with a detailed eye and adapt their approach with precision. That reality coupled with strong bank earnings and sticky inflation, as pointed out by Ed Yardeni, adds to a complicated economic picture. These elements can create downward pressure on the market, adding to the uncertainty within the market and affecting valuations of crypto.
Trading Strategies for Economic Data Releases
The ongoing trial related to Tornado Cash has huge ramifications for the rest of the crypto industry. The resulting outcome may serve as a critical precedent in making developers responsible for how their software is used. The commission’s ruling could have far reaching implications for the creation of said privacy tools and DeFi (decentralized finance) projects. The trial may provide clarity on the application of existing regulations to cryptocurrency and DeFi projects, influencing how regulators approach similar cases in the future. The case is implicitly challenging Tornado Cash’s sanctions and their subsequent reversal. Because of this change, regulators may reconsider how broadly they view the use of sanctions across the cryptocurrency ecosystem. The trial's outcome may influence the crypto industry's approach to privacy, potentially affecting the development of privacy-focused tools and protocols. The trial’s outcome will affect international regulatory cooperation and how governments around the world should regulate cryptocurrency.
- Stay Informed: Monitor economic data releases and expert analysis.
- Manage Risk: Use stop-loss orders to limit potential losses.
- Diversify: Don't put all your eggs in one basket. Spread your investments across different cryptocurrencies and asset classes.
- Consider Options: Options trading can be used to hedge against price swings or profit from volatility.
Tornado Cash Trial: A Watershed Moment
Here’s which altcoins are making big moves this week, and how to play both sides of the opportunity and risk.
Potential Outcomes and Ramifications
A short squeeze occurs when the price of a deeply shorted asset surges. This buying frenzy forces short sellers to cover their short positions, which only drives the price up further. Liquidations occur when a trader’s position is automatically closed as a result of falling below the required margin to cover losses.
- Developer Liability: A guilty verdict could chill open-source development of privacy-enhancing technologies.
- Regulatory Landscape: The case could shape how regulators view and regulate DeFi and privacy protocols.
- Sanctions and Crypto: The trial could influence the use of sanctions in the crypto space.
Preparing for the Trial's Impact
Pay attention to potential delistings from exchanges such as Bybit, etc., as this may affect liquidity and price. Additionally, monitor airdrop deadlines to ensure you claim the maximum rewards possible. Bybit has outlined strict participation terms for promotional events, and users who click “Register Now” will be eligible for rewards.
- Monitor the Trial: Stay updated on the latest developments.
- Assess Risk: Evaluate the potential impact on their projects and investments.
- Advocate for Clarity: Engage in discussions about responsible regulation and innovation.
Altcoin Movements: Squeezes and Liquidations
This week demands vigilance and strategic planning. Together with knowing what’s going on, understanding the risk, opportunities and locational advantages traders can be traded the volatility to make fortunes.
- AVAX: Up 18.78% over the past week, with a 0.33% increase in the past 24 hours, and a 91.3% short squeeze risk.
- LINK: Up 17.90% this week, with a 1.39% increase today, and a 91.3% short squeeze risk.
- LTC: Up 10.30% weekly, with a high short liquidation risk.
- XLM: Up 80.93% over the past seven days, with a 2.23% dip today, and a 91.3% short squeeze risk.
- DOGE: Trading at $0.2003, with a 70.7% long liquidation risk, and a 7.71% increase in the past 24 hours.
Understanding Short Squeezes and Liquidations
A short squeeze occurs when a heavily shorted asset's price rises sharply, forcing short sellers to cover their positions, further driving up the price. Liquidations happen when a trader's position is automatically closed due to insufficient margin to cover losses.
Navigating Altcoin Volatility
- Do Your Research: Understand the fundamentals of each altcoin before investing.
- Use Leverage Carefully: High leverage can amplify both profits and losses.
- Set Price Alerts: Stay informed about price movements.
- Take Profits: Don't get greedy. Secure your gains when possible.
Bybit Delistings and Airdrop Deadlines
Be aware of any delistings on exchanges like Bybit, as this can impact liquidity and price. Also, keep track of airdrop deadlines to maximize potential rewards. Bybit has outlined strict participation terms for promotional events, and users who click “Register Now” will be eligible for rewards.
This week demands vigilance and strategic planning. By staying informed and managing risk, traders can navigate the volatility and capitalize on opportunities.

Lee Chia Jian
Blockchain Analyst
Lim Wei Jian blends collectivist-progressive values and interventionist economics with a Malaysian Chinese perspective, delivering meticulous, balanced blockchain analysis rooted in both careful planning and adaptive thinking. Passionate about crypto education and regional inclusion, he presents investigative, data-driven insights in a diplomatic tone, always seeking collaborative solutions. He’s an avid chess player and enjoys solving mechanical puzzles.