ADA Volatility Analysis for CPI, 10th February 2022

Data Analysis

Measured by Clometrix

Cardano's volatility ratio was 5.04x, against 3.64x for a typical CPI release since 2021. Its volume ratio was 11.64x, against a typical 6.80x. That is a strong reaction by this release's own standard. 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 $1.2100 when the figure came out. Fifteen minutes later it was 4.13% lower, and an hour later 4.13% lower. Its high-to-low range in the hour after was 4.96% of its price, against 0.83% in the hour before.

The release

Released by the Bureau of Labor Statistics on 10 February 2022 at 8:30 AM EST. The Consumer Price Index came in at 0.6% for January 2022, against 0.7% in December 2021. Consumer prices are still rising, but more slowly than before.

It arrived at the same moment as Core Consumer Price Index, Core Inflation Rate, Initial Jobless Claims and Continued Jobless Claims, 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 5.04x 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).