Bitcoin Climbs Before Inflation Data And Ethereum Merge, Alts Rally

0

Last Updated on 13 September 2022 by CryptoTips.eu

Jeroen Kok

Jeroen is one of the lead copywriters on Cryptotips.eu and discusses all recent events in the crypto market. This includes news updates, but also price analyzes and more. He developed his passion for cryptocurrency during the bull run in 2017. He has learned a lot since then. The combination of cryptocurrency and creative writing is perfect for Jeroen and an excellent way to share his knowledge with a wide audience. Find me on LinkedIn / [email protected]
View all posts

Bitcoin climbed to $22k as positivism returned to the crypto market. Ethereum followed suit as enthusiasm for the Merge continued building (with even Google getting in on it). Several altcoins rallied. In the past week alone, some of the names of in the CoinMarketCap top 100 have seen impressive gains. Solana added 17%, Ravencoin 76% and Cosmos 25%. The beginning of a fall rally?

Advertentie.

Inflation and Merge

It all comes at an unusual and uncertain time though, which could translate in major volatility.  As Antoni Trenchev, the CEO of Nexo warned:

Crypto faces an unusual double whammy this week: U.S. inflation data and hopefully the long-awaited and oft-delayed Ethereum Merge. Hold your breath for a rollercoaster ride.

It is true that the upcoming Ethereum Merge is seen as a major development for crypto which could have serious implications, much like the Bitcoin halvings.

Antoni added:

In a time awash with narratives, there’s none bigger than the Merge in crypto and it’s one which the wider world should take notice of with Ethereum’s carbon footprint set to be slashed by 99%.

Indeed, the renewed correlation between stocks and crypto means that volatility is also high and that crypto is bound to react to the upcoming US inflation data set to be released on Tuesday afternoon. If the Federal Reserve has managed to suppress the high inflation figures, expect markets (and crypto) to rally further. If inflation is still high, we could see a pullback of the recent optimism.