Bitcoin ( BTC-USD ) breached $26K on Tuesday, tracking broader gains in stock markets, as latest data indicated that inflation is cooling, cementing expectations of a 25-basis point hike by the Federal Reserve. Sentiment also improved as fears of spillover effects from recent failures in U.S. banks to the cryptocurrency market receded. The top cryptocurrency rose to as high as ~$26.35K, its highest level in nine months. Bitcoin ( BTC-USD ) gained 7.3% to $25.82K as of 1.33 pm ET, while ether ( ETH-USD ) climbed 5.4% to $1.76K. "Bitcoin's ( BTC-USD ) strength is driven by expectations that companies active in the crypto space will not be negatively impacted by the current financial crisis," said David Keller, chief market strategist, StockCharts. "It's worth noting that the resolution of this crisis is still an open question." Keller added that latest inflation numbers "all but guarantee" that the Fed will stick to a 25-basis point hike in its policy meeting next week. Consumer inflation growth cooled in February, marking its slowest growth rate since September 2021. However, core services ex housing - the indicator most closely watched by the Fed - accelerated significantly. "This CPI report is not supportive of a pause in the Fed's rate hike cycle," said SA contributor James Kostohryz .
ETH Sell Off Surge! Who Is Selling Ethereum?
