Recently, the producer price index (PPI) data released by the United States has excited the market, leading to a rise in the crypto market. Latest data shows that the PPI in August rose 2.8% year-on-year, a decrease from 3.4% in July and below market expectations. This favourable information has not only driven the prices of mainstream crypto assets such as Bitcoin and Ethereum up but also injected new vitality into the entire crypto market.

Bitcoin has risen by 1.1% in the last 24 hours, while other major Crypto Assets such as Ethereum, Binance Coin, and Solana have seen increases of over 2%. This surge is not only influenced by inflation data but also benefits from strong earnings reports released by tech giants Oracle and TSMC.

Market analysts believe that this PPI report may indicate that the upcoming consumer price index ( CPI ) data will also be better than expected. Some believe that the Federal Reserve may announce an interest rate cut at next week's meeting, although the general expectation is a cut of 0.25 percentage points, some analysts, such as experts from ING Bank and Standard Chartered Bank, boldly predict a possible cut of 0.50 percentage points.

The changes in this series of economic indicators and market expectations undoubtedly bring new opportunities and challenges to the crypto market. Investors are closely watching the next moves of the Federal Reserve and how these macroeconomic factors will affect the future trends of Crypto Assets.

As the global economic situation continues to evolve, the performance of the crypto market seems to be increasingly linked to traditional financial markets. This phenomenon has also sparked in-depth reflection within the industry on the role of crypto assets in the global financial system. In the future, whether cryptocurrencies can become an effective tool for hedging against inflation, as well as how to strike a balance between regulation and innovation, will be important issues facing the industry.