The crypto market accelerated its recovery on Friday, with Bitcoin reaching $79,335.52 and Ethereum surpassing $2,630 after the release of U.S. inflation data.@

Annual CPI remained at 3.4%, while cooling core inflation supported risk assets, even as traders increased their bets on a Federal Reserve rate hike.
BTC continued higher after the U.S. inflation data and reached $79,450, up 2.82% over the past 24 hours. Just an hour earlier, the cryptocurrency was trading below $79,000, showing that buying accelerated after the initial CPI reaction.
Despite the recovery, Bitcoin remains almost unchanged for the week, down 0.05%. This makes $80,000 the immediate psychological test for buyers.
ETH is showing significantly stronger momentum. The leading altcoin rose 8.11% to $2,632.02 over 24 hours and is now up 7.34% for the week. In just the past hour, the token added 4.89%, highlighting its stronger momentum compared with Bitcoin.
Altcoins accelerated after Ethereum
The rise spread to a large portion of the leading cryptocurrencies. Solana rose 4.96% to $104.68, BNB added 3.54% to $735.31, and XRP gained 3.07% to $1.40.
Dogecoin reached $0.08711 after a daily gain of 3.77%, while Hyperliquid rose 2.74% to $83.22. Chainlink added 2.68% and reached $12.01.
Zcash stood out again on a weekly basis. ZEC surpassed $1,200.68, with a gain of 21.36% over seven days. However, its daily increase of 2.72% remains significantly below that of ETH and Solana.
U.S. consumer prices rose 0.4% in August, while annual inflation remained at 3.4%. Core CPI increased 0.3% for the month, while the annual figure slowed to 2.4% from 2.5%, reaching its lowest level since March 2021.
This created an unusual combination for the crypto market. The slowdown in annual core inflation reduces some concerns about persistent price pressures, but the monthly increase of 0.3% was not weak enough to change expectations for the Fed's immediate policy.
Energy remains the main risk. Gasoline prices rose 3.9% in August and accounted for more than one-third of the monthly CPI increase, showing how quickly higher energy costs affect overall inflation.
Crypto rises despite a 90% chance of higher rates
The most unusual signal following the CPI report is the simultaneous rise in cryptocurrencies and increase in expectations for tighter policy. Traders are now pricing in around a 90% probability that the Fed will raise rates by 25 basis points next week.
Instead of weighing on Bitcoin, the repricing was followed by an acceleration toward $80,000. This suggests that much of the risk of a rate hike is already priced in, while the lack of a surprise in annual CPI limited concerns about even more aggressive tightening.
Sentiment remains positive. The Fear and Greed Index stands at 69 points, in the “greed” zone. However, the Altcoin Season Index is only at 38, so the stronger performance of ETH, SOL, and several other large tokens still does not indicate a broad-based altcoin season.
$80,000 becomes Bitcoin's next test
At around $79,335, BTC is now less than 1% away from the $80,000 psychological threshold. A breakout above it would erase nearly the entire weekly decline and give buyers the first clearer signal that the recovery is gaining traction.

ETH, meanwhile, is showing a stronger appetite for risk. A daily gain of more than 8%, combined with the increases in Solana, BNB, XRP, and Dogecoin, shows that buying is now expanding beyond Bitcoin.

The next major catalyst is the Fed's decision. With around a 90% probability of a 25-basis-point increase, the move itself is already largely priced in. For Bitcoin and the rest of the crypto market, the more important factor will be whether the central bank views the increase as a one-time response to inflationary pressure or the beginning of a more prolonged tightening cycle.