The crypto market is up today, August 12, as US inflation drops to 3.4% in July 2026. Ethereum (ETH) and Dogecoin (DOGE) are some of the biggest gainers among the top ten largest cryptos by market cap. Meanwhile, Uniswap (UNI) is one of the biggest losers after the price dropped by 10% to trade at $3.54 at the time of writing.
Crypto Market Outlook as US CPI Data Shows Cooling Inflation
Ethereum (ETH) price is up by 0.87% today, August 12, to trade at $1,907 at the time of writing. Dogecoin is also up by 1.78% to trade at $0.071.
Data from CoinMarketCap shows that all of the top ten biggest cryptos by market cap, apart from Bitcoin (BTC), are trading in the green as the US CPI data shows that inflation has cooled from 3.5% in June 2026 to 3.4% in July 2026.
This inflation data will have an impact on whether the Federal Reserve will hike or trim rates at the September FOMC meeting.
Data from prediction markets suggest that 62% of investors expect the Fed will leave interest rates unchanged at between 3.50% and 3.75%.
With today’s CPI print showing that inflation is cooling, it could increase the odds of the Fed not hiking rates, as it was earlier expected after July’s FOMC meeting highlighted that most Fed officials are leaning towards increasing interest rates.
Besides the inflation report, geopolitical tensions are also moving the crypto market today. An earlier report by CoinGape revealed that talks between Iran and Oman to discuss reopening the Strait of Hormuz are at an advanced stage, with this causing the price of Bitcoin to rise to $65,000.
Data from prediction markets also shows that there is a 99% chance that the US and Iran will announce a ceasefire by August 31, with the optimism raising market sentiment.
