ADA Volatility Analysis for CPI, 10th August 2022

Data Analysis

Measured by Clometrix

Cardano's volatility ratio was 7.96x, against 3.64x for a typical CPI release since 2021. Its volume ratio was 21.51x, against a typical 6.80x. That is more than twice what this release usually does. Both compare the quarter hour of the release with an ordinary quarter hour that same day, where 1.00x is no change: volatility is how far the price ranged, volume how much traded.

How Cardano moved

Cardano was at $0.5141 when the figure came out. Fifteen minutes later it was 3.09% higher, and an hour later 4.2% higher. Its high-to-low range in the hour after was 4.57% of its price, against 1.15% in the hour before.

The release

Released by the Bureau of Labor Statistics on 10 August 2022 at 8:30 AM EDT. The Consumer Price Index came in at 0.0% for July 2022, against 1.3% in June 2022. Consumer prices were flat.

It arrived at the same moment as Core Consumer Price Index and Core Inflation Rate, so the reaction measured on this page belongs to all of them together.

What made it matter

Since 2021, CPI releases in the two weeks before a Fed decision have moved Cardano about as much as those at other times: a median volatility ratio of 3.67x across 28, against 3.64x across 42. This one was not within two weeks of a Fed decision. Its own ratio of 7.96x compares with 3.64x for those, so it moved the price more than its circumstances alone would suggest.

Its record

Across 70 CPI releases since 2021, Cardano's median volatility ratio is 3.64x.

About Consumer Price Index

The Consumer Price Index (CPI) measures the monthly change in prices paid by U.S. consumers. The Bureau of Labor Statistics (BLS) calculates the CPI as a weighted average of prices for a basket of goods and services representative of aggregate U.S. consumer spending. The CPI is one of the most popular measures of inflation and deflation. The index is published monthly by the U.S. Bureau of Labor Statistics (BLS).