Inflation Accelerates in the US, Fueling Altcoins to Surge
Date: 2025-07-17 Author: Oliver Abernathy Categories: CRYPTO PAYMENTS
According to the Bureau of Labor Statistics (BLS), the Consumer Price Index (CPI) rose to 2.7% in June, indicating that inflation is accelerating. Valentin Fournier, lead analyst at BRN, noted that these figures have supported optimistic sentiment among investors: “The market is showing strong growth, continuing to attract capital into ETFs, while altcoins are actively closing the gap with Bitcoin.”
The reaction of the former cryptocurrency was moderate, with Bitcoin adding about 2%, reaching a level of about $119,300. However, Ethereum has risen significantly more, by almost 7.9%, reaching $3,238, while Solana has risen by 5.4%, reaching $167, according to CoinGecko.
Fournier emphasized that investors have become more risk-averse since the release of the statistics, which is confirmed by significant inflows into Ethereum-based ETFs and Solana-related products - $193 million and about $3.3 million, respectively. Interest in Ethereum has also been fueled by large corporate purchases: SharpLink Gaming, which holds more than 280,000 ETH, has become the largest public holder of Ethereum, recently acquiring over 50,000 tokens worth over $73 million. In addition, Nasdaq-listed miner BitMine Immersion announced that it has raised $67.3 million to invest in Ethereum.
As for the alt season forecast, analysts note that Ethereum continues to grow despite the less impressive dynamics of Bitcoin, and capital is actively flowing into alternative cryptocurrencies. The alt season index, which takes into account the behavior of 75% of coins from the top 50 cryptocurrencies by capitalization, reached its maximum since February, which is a clear sign of a change in the market trend.
Earlier in February, the founder and CEO of CryptoQuant Ki Young Ju announced the start of the alt season, emphasizing its selective nature and suggesting focusing on trading volume instead of the usual indicator of Bitcoin dominance. In July, Santiment analysts confirmed the growth of altcoin activity, although they warned about the presence of alarming market signals.
Thus, current trends demonstrate increasing interest in altcoins against the backdrop of rising inflation in the United States and strengthening risk appetite among investors, which may mark a new stage in the development of the crypto market.
