Stacks (STX) price is experiencing excitement in the cryptocurrency market as Bitcoin price surges to $50,000, while the latest US CPI data released on Tuesday triggered a sudden sell-off. According to the Bureau of Labor Statistics’ latest statement, the Consumer Price Index (CPI), an indicator of the average price change for goods and services purchased by households, increased by 0.3% in January.
The Impact of US CPI on Bitcoin
High inflation could lead central banks to raise interest rates, which in turn may reduce investors’ appetite for riskier assets, including cryptocurrencies, and shift their focus to safer investments. At the time of writing, the leading cryptocurrency Bitcoin was trading at $48,990, down by 1.7% for the day.
However, according to data from crypto analytics firm Coinglass, a total of 51,699 investors faced liquidation, resulting in $154.85 million worth of liquidations in the last 24 hours. The mentioned price drop triggered a sudden sell-off pressure in the altcoin market, while Stacks coin continued its upward trend with a 7.8% increase.
Stacks TVL on the Rise
In line with the broader market recovery, the price of Stacks gained momentum with the price rebounding from the $1.45 support level in the second week of February. This positive turnaround triggered a 9-day winning streak, recording approximately 50% growth to reach $2.157. The latest data from on-chain data analytics firm DefiLlama shows that Stacks’ total value locked (TVL) has risen to $70.21 million.
This data represents significant growth of over 50% in the last three weeks. The development represents the capital commitment in Stacks’ DeFi ecosystem and may reflect investors’ overall participation and confidence in its financial protocols. Amidst the current recovery, the STX price made a decisive break from the recent high resistance level of $2.06. The anticipated rally could take the altcoin to $2.475 and then to $2.82.
