A couple of days ago I made an analysis on BTC and my expected targets for after today's CPI release.
The initial reaction to the CPI reading is that it's worse than expected (consensus), therefore the market is selling-off.
Most important are the CPI YoY, and both the CPI's ex food & energy. All three of them are performing worse than expected.
In my view, the most negative reading of all is the +0.6% month-over-month CPI for August. With a consensus and a previous reading at +0.3% it means that inflation is actually accelerating faster than the market thinks.
The most likely scenario would be to expect a further sell-off. However, initial reactions to big news events do often overshoot, so wait for the market to clear up (wait a day or two) to see how this news is digested.