Bitcoin, Dogecoin Flat, While Ethereum, XRP Sink Amid Hotter-Than-Expected Consumer Inflation: Analyst Sees No BTC Exhaustion, Targets This Range - Yahoo Finance

💡 Bitcoin and Dogecoin prices remain stable despite rising inflation, while Ethereum and XRP take a hit.

The Federal Reserve's hotter-than-expected consumer inflation reading has left investors wondering about the future of cryptocurrencies. The latest data shows that inflation rose by 4.7% in the last 12 months, exceeding the 4.4% forecast.

Cryptocurrency Market Reaction

Bitcoin and Dogecoin prices have remained relatively flat in the face of rising inflation, while Ethereum and XRP have taken a hit. Analysts attribute this to the fact that Bitcoin's halving cycle is still in effect, which could lead to a supply shock and a subsequent increase in price. On the other hand, Ethereum's Ethereum 2.0 upgrade has been delayed, causing the price to drop.

Ethereum Price Drop

Ethereum's price drop can be attributed to the delay in its Ethereum 2.0 upgrade. The upgrade was expected to increase gas fees and transaction speeds, but the delay has caused a loss of confidence in the project. As a result, investors have pulled out of the market, causing the price to drop by 10% in the last 24 hours.

XRP Price Drop

XRP's price drop can be attributed to the SEC vs. Ripple lawsuit. The lawsuit has caused a loss of confidence in the project, leading to a drop in price by 15% in the last 24 hours. Analysts attribute this to the fact that the lawsuit has caused a delay in the development of Ripple's CBDC project.

What It Means for Investors