Crypto Market Recovery: Here’s Why BTC, ETH, SOL, & DOGE Prices Are Rising

Crypto Market Rebounds as Bullish Factors Pile Up

The cryptocurrency market exhibits signs of recovery today, with the global market capitalization soaring by 3.49% to hit $2.52 trillion. Leading cryptos like Bitcoin (BTC), Ethereum (ETH), Solana (SOL), and Dogecoin (DOGE) have witnessed gains ranging from 2% to 5%.

Bitcoin's price has notably regained momentum above $69K, while ETH has surpassed $3,600. Altcoins have followed suit in this positive momentum, primarily fueled by a recent string of bullish events.

US CPI Cooldown Props Up Crypto Sentiment

Bullishness has pervaded the trading landscape following a cooling in the US annual CPI inflation to 3.3%, below the estimated 3.4% and last month's 3.6%. The yearly Core CPI has eased to 3.4%, against expectations of 3.5% and last month's 3.6%. Month-on-month core inflation has slowed to 0.2%, a significant decline in recent months.

Fed Chair Jerome Powell has also maintained his stance on three rate cuts, despite market expectations for two. Notably, the US dollar index (DXY) has dropped to 104.3.

These factors have collectively contributed to the crypto market's recovery, bolstering investor confidence in one of the world's largest economies.

Bitcoin and Altcoins Price and On-Chain Metrics

Following the positive news, Bitcoin's price surged 4.29% to $69,707.75. CryptoQuant data suggests significant buying pressure, with over 20,000 BTC moved to wallets during the recent correction, indicating a "buy-the-dip" mentality among market participants. This bullish factor aligns with the recent uptrend in price action.

Ethereum's price rose by 2.90% to $3,629. This recovery coincides with a massive outflow of ETH from Coinbase, a centralized exchange. CryptoQuant reports that 336K ETH was withdrawn, marking the largest year-to-date exchange outflow.

Solana (SOL) surged 5.10% to $160, and Dogecoin (DOGE) rallied over 7% to $0.1492. A bearish start to the day for most cryptocurrencies has been overshadowed by the positive developments that have transpired.

Coinglass data indicates that BTC futures OI jumped over 3% within four hours after the CPI announcement. CME Bitcoin Futures OI also saw a 2.79% increase during the same period.

Ethereum Futures OI and DOGE's Futures OI also experienced notable increases of over 2% and 13%, respectively, within the past four hours.