Data Analysis
The release
Released by the Bureau of Labor Statistics on 12 March 2021 at 8:30 AM EST. The Producer Price Index came in at 0.7% for February 2021, against 1.0% in January 2021. Producer prices are still rising, but more slowly than before.
It arrived at the same moment as Core Producer Price Index, so the reaction measured on this page belongs to all of them together.
How Bitcoin moved
Bitcoin was at $55,251.00 when the figure came out. Fifteen minutes later it was 0.67% higher, and an hour later 1.33% higher. Its high-to-low range in the hour after was 1.67% of its price, against 2.88% in the hour before.
Measured by Clometrix
Bitcoin's volatility ratio was 1.54x, against 2.08x for a typical PPI release since 2021. Its volume ratio was 2.68x, against a typical 2.30x. That is about 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.
What made it matter
Since 2021, PPI releases in the two weeks before a Fed decision have moved Bitcoin about as much as those at other times: a median volatility ratio of 2.18x across 29, against 2.05x across 41. This one came out 5 days before the Federal Reserve's 17 March rate decision. Its own ratio of 1.54x compares with 2.18x for those, so it moved the price less than its circumstances would suggest.
Its record
Across 70 PPI releases since 2021, Bitcoin's median volatility ratio is 2.08x.
What it means
Bitcoin registered an ordinary reaction to the February 2021 PPI release. The volatility ratio reached 1.54x in the quarter hour after publication, below the 2.08x median recorded across 70 PPI prints since 2021. Volume expanded to 2.68x its baseline for that time of day, modestly above the 2.30x typical level. Bitcoin traded at $55,251.00 at the 8:30 AM EST print and rose 0.67 percent in the first fifteen minutes and 1.33 percent within the hour. The high-to-low range in that hour contracted to 1.67 percent of price from 2.88 percent beforehand.
The release arrived alongside the Core PPI figure and five days before the Federal Reserve's March 17 rate decision. PPI prints in the two weeks before policy meetings have produced a median volatility ratio of 2.18x across 29 observations, close to the 2.05x median for the remaining 41 releases. The 1.54x outcome on this occasion therefore fell below the level associated with its timing. Traders can take from the record that proximity to a Federal Reserve meeting has not lifted Bitcoin's response to PPI above the event's usual magnitude.
About Producer Price Index
The Producer Price Index (PPI) measures the average change over time in the prices domestic producers receive for their output. It is a measure of inflation at the wholesale level that is compiled from thousands of indexes measuring producer prices by industry and product category. The index is published monthly by the U.S. Bureau of Labor Statistics (BLS).
Disclaimer
The data analysis, forecasted results and projections provided herein are based on historical price action and market trends. While every effort has been made to ensure the accuracy of the information, these predictions are speculative and should not be considered a guarantee of future performance. Market conditions can change rapidly, and past performance is not indicative of future results. Trading and investing involve significant risk, and you should conduct your own research and consult with a licensed financial advisor before making any investment decisions. We do not assume any liability for any losses that may result from reliance on this information.
BTC-USDT
Bitcoin
Open
57,385.90Close
56,278.2524h Change
-1107.65 (-1.97%)24h High
57,768.0024h Low
54,962.8424h Volume
72,634 BTCUS Producer Price Index
Bureau of Labor Statistics
12th March, 2021, 8:30AM Timezone: America/New York
Chart Data from Binance
Observations
| Time | Open | High | Low | Close | Change | Amplitude | Volume |
|---|---|---|---|---|---|---|---|
| 1 Minute | |||||||
| Before | 55172.62 | 55347.44 | 55022.60 | 55251.00 | 0.14% | 0.59% | 277 BTC |
| During | 55251.00 | 55583.60 | 55200.32 | 55505.31 | 0.46% | 0.69% | 206 BTC |
| 5 Minutes | |||||||
| Before | 55631.42 | 55661.33 | 54962.84 | 55251.00 | -0.69% | 1.25% | 1,586 BTC |
| During | 55251.00 | 55583.60 | 55150.00 | 55286.27 | 0.06% | 0.78% | 784 BTC |
| 10 Minutes | |||||||
| Before | 55878.28 | 55878.29 | 54962.84 | 55251.00 | -1.14% | 1.64% | 1,987 BTC |
| During | 55251.00 | 55597.42 | 55150.00 | 55457.83 | 0.37% | 0.80% | 1,278 BTC |
| 15 Minutes | |||||||
| Before | 55586.17 | 55970.00 | 54962.84 | 55251.00 | -0.61% | 1.80% | 2,599 BTC |
| During | 55251.00 | 55687.96 | 55150.00 | 55622.94 | 0.67% | 0.97% | 1,707 BTC |
| 30 Minutes | |||||||
| Before | 56385.97 | 56391.25 | 54962.84 | 55251.00 | -2.05% | 2.53% | 5,720 BTC |
| During | 55251.00 | 56033.01 | 55150.00 | 55689.99 | 0.79% | 1.58% | 2,853 BTC |
| 1 Hour | |||||||
| Before | 56421.63 | 56556.00 | 54962.84 | 55251.00 | -2.12% | 2.82% | 6,928 BTC |
| During | 55251.00 | 56075.30 | 55150.00 | 55984.83 | 1.31% | 1.65% | 4,752 BTC |
| 2 Hours | |||||||
| Before | 56823.45 | 56844.61 | 54962.84 | 55251.00 | -2.85% | 3.31% | 9,306 BTC |
| During | 55251.00 | 56572.61 | 55150.00 | 56243.54 | 1.76% | 2.51% | 8,433 BTC |
| 4 Hours | |||||||
| Before | 56674.25 | 57073.48 | 54962.84 | 55251.00 | -2.58% | 3.70% | 16,330 BTC |
| During | 55251.00 | 57625.91 | 55150.00 | 57514.52 | 3.94% | 4.30% | 16,281 BTC |
| 6 Hours | |||||||
| Before | 56753.05 | 57095.76 | 54962.84 | 55251.00 | -2.72% | 3.74% | 21,642 BTC |
| During | 55251.00 | 57768.00 | 55150.00 | 56860.64 | 2.83% | 4.53% | 21,837 BTC |
| 8 Hours | |||||||
| Before | 57385.90 | 57470.63 | 56259.79 | 56674.20 | -1.26% | 2.11% | 18,548 BTC |
| During | 56674.25 | 57625.91 | 54962.84 | 57514.52 | 1.46% | 4.62% | 32,611 BTC |
| 12 Hours | |||||||
| Before | 57385.90 | 57470.63 | 54962.84 | 55251.00 | -3.86% | 4.36% | 34,878 BTC |
| During | 55251.00 | 57768.00 | 55150.00 | 56278.25 | 1.83% | 4.53% | 37,756 BTC |
