According to @BullTheoryio, the latest US PCE inflation and Core PCE each printed 2.8%, versus expectations of 2.8% and 2.9%, respectively, indicating softer-than-expected inflation pressure (source: @BullTheoryio). The author states that with inflation easing and growth slowing, the Federal Reserve has less justification to keep policy rates elevated, raising near-term rate cut odds (source: @BullTheoryio). The post adds that this backdrop is positive for markets, liquidity, and risk assets such as BTC and ETH, implying a supportive environment for crypto as policy expectations ease (source: @BullTheoryio).

According to @DowdEdward, U.S. inflation is decelerating while a recession is brewing, layoffs are starting, and the credit cycle is rolling over, setting up a near-term deflation scare; source: @DowdEdward on X, Nov 7, 2025. He adds that even if deflation pressures emerge, price levels are unlikely to return to pre-Covid baselines, implying ongoing consumer and margin pressure; source: @DowdEdward on X, Nov 7, 2025. For traders, this framework elevates layoff trends and credit stress as key catalysts for risk assets and crypto volatility into 2025; source: @DowdEdward on X, Nov 7, 2025.