Bitcoin and Ethereum Price Predictions: BTC and ETH Soar Over 6%, What's Next?
Bitcoin, the world's largest digital currency, maintained its upward rally, rising 7% to $30,193 for the first time since June. This occurred just before Consumer Price Index (CPI) data was released.
The CPI data is due out on Wednesday and is likely to show higher inflation, which raised the probability of a less hawkish Fed's stance in its coming meeting.
Meanwhile, Ethereum, the second most valuable currency, gained more than 3% to $1,925 for the first time since August as investors anticipated the Ethereum network's latest update, which is also scheduled for Wednesday.
It is worth mentioning that Consumer Price Index (CPI) measures inflation, or how much the prices of goods and services have increased. Thereby, traders and investors speculate that if the CPI report shows a high level of inflation, the US Federal Reserve will decide to pause or slow down their plans to increase interest rates at their next meeting.
This could be good news for assets like Bitcoin, which may see a further boost in value.
Furthermore, the state of Arkansas in the US has recently passed a bill to regulate Bitcoin mining activity. This was seen as another favorable news for miners because it protected them from high taxes and unfair rules.
This has ultimately helped cryptocurrency and contributed to the gains in BTC.
Moreover, the upticks in the BTC price were further bolstered by the multiple positive projections regarding BTC's future price. The Elliott Wave theory, a well-known technical analysis method, predicts that the price of Bitcoin (BTC) will increase to $130,000 by the end of 2023.
The Consumer Price Index is set to be published on Wednesday and is expected to show higher values. The report will indicate how much prices have risen in
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