Crypto Markets Rally as Bitcoin Tops $109K, Eyes Turn to CPI Report

Bitcoin’s push above $109,000 has reignited momentum across the crypto market, with altcoins snapping out of a sluggish phase and staging a broad-based recovery ahead of key U.S. inflation data due this week.

Ethereum (ETH) surged over 7%, leading the charge, while Dogecoin (DOGE) and Cardano (ADA) each gained over 5%, reflecting renewed risk appetite after last week’s volatility shakeout. The total crypto market cap climbed by more than 3%, and the CoinDesk 20 Index added 4% as confidence returned.

The rebound comes as investors digest the latest developments from U.S.-China trade talks and prepare for Wednesday’s Consumer Price Index (CPI) data, which could shape expectations around interest rate policy and market liquidity.

“Between the return of U.S.-China negotiations and the SEC opening doors to new crypto ETFs, we’re seeing a sentiment shift,” said Augustine Fan of SignalPlus. “Bitcoin’s strength is fueling wider interest across digital assets.”

Kay Lu, CEO at HashKey Eco Labs, believes the market may have overreacted to recent political drama involving Trump and Musk.

“We’re seeing healthy signs of recovery. As long as core fundamentals remain strong, CPI will just be another trigger point—not a trend-breaker,” she said.

At the same time, some analysts are noting that this isn’t the same old bull cycle.

“Investors now have more pathways into crypto—whether it’s via ETFs, stablecoins, or treasury exposure,” said Jeff Mei, COO at BTSE. “That makes this cycle more nuanced and less reactive.”

Nick Ruck, director at LVRG Research, said Bitcoin’s performance in the face of macro uncertainty is encouraging.

“Bitcoin holding above $109K despite geopolitical noise reinforces its evolving role as a macro asset,” he said. “The ETF narrative is pulling in fresh eyes from traditional markets.”

With CPI data on deck and momentum building, all eyes are now on whether Bitcoin can extend its gains—or if markets will pause to catch their breath.