Tuesday’s Consumer Price Index now has the undivided attention of the global financial markets as investors look to verify whether June’s hot PCE data was a one-off or an indicator of the increasing inflation level in the US economy.
Major US stock indices turned red on Monday as the market braces for data-driven volatility on Tuesday.
The Bitcoin price tumbled as well, falling below the $120k support to $118,900 at press time. While Ethereum is showing resilience, large-cap altcoins like XRP and Solana and meme coins like Fartcoin, Dogwifhat and SPX6900 are faring much worse.
A cool or in-line CPI print could result in a sharp rebound in crypto prices, potentially even leading to new highs in Bitcoin, XRP and Ethereum. However, another hot inflation data could delay Fed rate cuts, a potentially bearish scenario for crypto.
CPI Data Forecast: Another Hot Inflation Print On Tuesday?
Morgan Stanley analysts believe that Tuesday’s CPI will show accelerating inflation levels in the US economy. They expect that the core CPI, which excludes energy and food prices, will surge to 3.04% y/y as consumer products exposed to tariffs are showing signs of “pass-through”.
For the uninitiated, pass-through is the extent to which higher costs — such as from tariffs, raw materials, or currency changes — are reflected in final consumer prices. In other words, it measures how much of a producer’s cost increase gets “passed on” to buyers.
The Wall Street Journal’s Nick Timiraos agrees with this assessment, highlighting that the market expects the core CPI to increase by 3.1% and the headline figure to come out at 2.8% year-over-year.
Despite the increasing CPI inflation, in-line data tomorrow could result in a rally in crypto prices. Owing to the brutal July jobs report, the CME FedWatch is currently showing an 86% probability of a Fed rate cut in the September FOMC.
Outside of disastrous CPI data on Tuesday, the Federal Reserve will likely slash its target rate by 25 basis points.
How Will Crypto Prices React To Tuesday’s CPI?
The crypto market volatility will largely depend on Tuesday’s CPI data.
For instance, the Bitcoin price is currently trading just 4% below its current all-time high, and a cool print could lead to a new one. Prominent analyst Ali Martinez claims that BTC could surge to $133,000 in the short term, as indicated by its MVRV price bands.
Ethereum is already showing impressive resilience. Despite the pre-CPI broader market flush, ETH continues to trade above $4200. A new all-time high is just 13% away, and a cool CPI print could make it happen.
XRP could also benefit tremendously from a soft print. It is not without any reason that whales have purchased 900 million $XRP over the past 48 hours.
900 million $XRP scooped up by whales in 48 hours! pic.twitter.com/S9sDKwDu0t
— Ali (@ali_charts) August 11, 2025
These New Meme Coins Are Also In High Demand
Soft inflation data on Tuesday could kickstart a new crypto bull run. Unsurprisingly, smart money investors continue to stack low-cap meme coins that tend to offer outsized returns during bull market euphoria.
For instance, an Ethereum-based alternative of SPX6900, TOKEN6900 (T6900), is in high demand, having already raised nearly $2 million in its viral presale.
Much like Fartcoin, Dogecoin and Pepe, T6900 is a zero-utility coin that relies only on the meme culture and strong community support.
Much like SPX, it is based on a strong anti-stock market spirit and giving small-scale retailers an opportunity to make big money. Considering its low market cap, prominent analysts are bullish on TOKEN6900’s growth potential.
Similarly, a low-cap alternative to Dogecoin, Maxi Doge (MAXI), has raised nearly $700k in its ICO.
Maxi Doge is portrayed as a wilder alternative to DOGE, with its imagery showing a shredded dog that is only hunting for max gains, both in the gym and in the crypto market.
The meme coin is designed to be relatable to crypto degens and low-cap hunters. As experts say, “If a meme coin can make you chuckle, it will be successful. “
Seasoned traders are among the early MAXI buyers, with some even eyeing up to 100x gains.
Visit Maxi Doge Presale
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