Odaily News Cryptocurrency markets rebounded after the release of CPI data on Wednesday. "We saw Bitcoin prices rise by about 2.5% following the news that CPI was below 3.4% in April and core CPI was 3.6%, which was in line with expectations," said analysts at Bitfinex. It also said that investors viewed the weak inflation data as a shift in a bullish mechanism because it marked the first decline in CPI inflation in the past three months and came after the Federal Reserve announced its intention to reduce quantitative tightening. The analysts added: "The CPI has formed a local top in the past two months, so this was seen as a positive data for risk assets, but it had the opposite effect." However, they stressed that inflation rates are still above 3%, and on Tuesday, PPI inflation data showed a third consecutive month of increase. "While the decline in inflation data is good news, investors will have to wait and see whether the Fed thinks this is positive enough news to cut interest rates," the analysts explained. (The Block)