Bitcoin and ether moved higher after the latest US inflation report, with analysts saying the data gave markets little new reason to change expectations for the Federal Reserve’s September interest-rate decision.
Bitcoin briefly approached $79,000 before settling around $77,800, while ether climbed above $2,500. The US Consumer Price Index (CPI) rose 0.4% in August, lifting annual inflation to 3.4%, according to the Bureau of Labor Statistics. Energy prices were a major factor, with gasoline prices up more than 25% from a year earlier.
Analysts said the report was largely in line with expectations and did not provide a strong new signal for interest rates. As a result, crypto markets are likely to remain more focused on underlying demand, employment data and broader financial conditions.
Matt Mena, senior crypto research strategist at 21Shares, said the latest data does not necessarily threaten Bitcoin’s broader uptrend. He noted that Bitcoin has historically performed well in the month following a hotter-than-expected core CPI reading, particularly if the Fed keeps rates unchanged.
Sygnum Bank CIO Fabian Dori, however, warned that a stronger-than-expected rise in core inflation could still force markets to rethink the Fed’s rate outlook and put pressure on Bitcoin. He said the current rally is increasingly being supported by institutional investment rather than speculative leverage, making a major change in rate expectations an important risk.
Bitget analyst Lewis Huang pointed to a split in the inflation data: overall inflation is being pushed higher by energy costs, while underlying inflation continues to ease. This could give the Fed more room to look beyond the headline number when deciding its next move.
For crypto, Huang said the CPI report therefore provides only a limited signal for interest rates. He added that Bitcoin holding above $76,270 would indicate that demand remains strong despite uncertainty over the Fed’s next steps.
Higher rates can still support parts of crypto
Higher interest rates are not necessarily negative for every part of the crypto market, according to Brendan Ma, head of investment strategy at the Arbitrum Foundation.
While higher rates can put pressure on risk assets and trading activity, they can also benefit parts of the digital-asset infrastructure, particularly stablecoins and tokenized Treasury products. Higher yields can make these products more attractive to investors seeking income.
Meanwhile, Solana has also shown strength, with traders watching whether SOL can break above the $100 level and move toward $130.
Mena said the outlook for Solana has improved as ETF inflows and onchain activity continue to support the network. Solana ETFs have attracted more than $500 million in net inflows in 2026, while the network recorded more than 5 billion transactions last month.
Ethereum is also seeing stronger activity, with Robinhood’s new Ethereum-based Layer-2 network quickly reaching $1 million in daily revenue and $1 billion in trading activity.
Mena said the final quarter of 2026 could become one of the strongest periods for crypto since Donald Trump’s election. He added that if the CLARITY Act passes, a move toward $100,000 for Bitcoin, $3,000 for Ether and $130 for Solana could become possible.
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