Ethereum (ETH) surged to a new high on Nov 8, while other top cryptocurrencies increased in price ahead of a critical US inflation report today.

The price of ETH rose by 3.30% in the last 24 hrs to $4,770, a first in its history. Bitcoin (BTC) also reclaimed $66,000, demonstrating the solid relationship between the two digital assets.

Inflationary pressure returns

Wall Street economists expected the US Consumer Price Index to increase by 5.8% before the release of the inflation report by the Bureau of Labor Statistics on Wednesday. That would be slightly higher than the 5.4% inflation rate recorded in Sept, the highest since 1990.

The most recent inflation rates came after the Federal Reserve’s policy meeting. The US central bank decided to implement its $120-billion-a-month asset-purchase program to lessen the effects of increasing consumer prices to lower them to the intended 2% target.

Yet, the Fed authorities maintained that inflation is “transitory” in nature. They decided to stick with their base interest rates near zero. This kept Bitcoins’ favorable momentum going, seeing its high returns during the ultra-low interest rates and massive bond-buying.

Ethereum To Continue Growing

The ongoing bull run breakout changed Ether’s profit target to near $4,800.

Bernhard Rzymelka, global markets managing supervisor at Goldman Sachs, expects Ethereum to hit $8,000 by Dec 2021 if the token continues tracking inflation expectations.

Disclaimer: Information found on Blue Edge Crypto is those of writers quoted. It does not represent the opinions of Blue Edge Crypto on whether to buy, sell, or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk. See Disclaimer for more information.