Crypto Markets React to Mixed Inflation Data
- August CPI rose by 3.4% year-over-year and by 0.4% month-over-month, aligning with consensus expectations.
- Core inflation cooled to a yearly rate of 2.4%, its lowest since 2021, but monthly core inflation was higher than expected at a rate of 0.3%.
- Total crypto market capitalization approached $2.7 trillion as the Bitcoin price neared $79,000.
- The Crypto Fear & Greed Index increased to a “greed” level of 73, while Ethereum surged by over seven percent.
- Ethereum led gains among major cryptocurrencies, rising by over seven percent to reach $2,611.
The latest U.S. inflation data presented mixed signals for markets, with core inflation slightly exceeding forecasts despite an overall cooling trend since last year. This uncertainty influenced the crypto market dynamics as traders considered potential Federal Reserve actions on interest rates in their upcoming meeting (Source).
