Bitcoin and Ethereum surge after a softer inflation report

Bitcoin and Ethereum surged on Wednesday, July 15, after a softer-than-expected inflation report reset the macro mood. Cooler inflation eases the pressure on the Federal Reserve to keep rates high — and even revives the case for cuts — a welcome shift for risk assets.

The rally snapped the market out of the funk that had set in after renewed U.S.–Iran strikes the prior week pushed oil and inflation expectations higher.

The move set up a firmer second half of the month, with Ethereum in particular pushing back toward the $1,900 level.