Crypto markets experienced a notable jump on June 12 following the release of U.S. Consumer Price Index (CPI) data for May, which remained flat, suggesting potential positive trends in inflation.

The U.S. CPI data showed no change for May, a decrease from 0.3% in April. Additionally, the year-over-year (YoY) CPI dropped from 3.4% in April to 3.3% in May, surpassing expectations that the data would stay the same.

Core CPI YoY levels also saw a decline, falling from 3.6% to 3.4% last month, marking the lowest rate since April 2021. The general consensus had estimated a 3.5% point for this index.

As a result of this improved data, the total crypto market cap grew by 3%, reaching $2.65 trillion. Bitcoin (BTC) ended a two-day decline with a 4% surge, climbing above $69,300. Ethereum (ETH) also saw an increase of nearly 3%, reaching $3,639 at the time of writing.

Other top 10 digital assets, including BNB, Solana (SOL), XRP, Dogecoin (DOGE), and Toncoin (TON), posted modest gains on the same day.

Top 10 digital assets jump on CPI data

Softer inflation data could potentially buoy crypto prices. A report from QCP Capital indicated that crypto traders and investors were anticipating cooler inflation data from the upcoming Federal Open Market Committee (FOMC) meeting.

The report noted “aggressive buying” of June 13 calls and increased funding rates, suggesting market positioning for an upward move. QCP Capital analysts stated, “A neutral FOMC outcome could propel the crypto market to retest its highs once more.”

Cryptocurrencies and other risk assets might see liquidity inflows if the Federal Reserve mirrors decisions made by other central banks. Recently, the European Central Bank and the Bank of Canada reduced rates. Following this news, the U.S. dollar index (DXY) rose to a 30-day high, indicating more capital availability for investments.

For more updates on cryptocurrency markets and investment insights, continue exploring Global Crypto News.

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