Bitcoin (BTC) and Ethereum (ETH) prices are drawing attention following the CPI release after the US-Iran conflict, CoinGape reported.
CoinGape said that the U.S. inflation rate for March 2026 was 3.3%, in line with forecasts, reflecting higher living costs amid the Middle East conflict.
In this environment of elevated inflation, Bitcoin and Ethereum price volatility could rise.
Inflationary pressures are evident not only in the United States but in other countries as well.
Japan’s producer price index (PPI) rose to a four-month high as energy prices surged following the Hormuz Strait closure.
However, despite this inflation, some analysts say Japan may refrain from raising rates given the economy’s already heavy burden from the war, CoinGape reported.
In the United States, investors are already pricing in a scenario where rate cuts may not occur, CoinGape said.
CME FedWatch data indicate a 98% probability that the Fed will hold rates in the 3.50% to 3.75% range.
With inflation running above the Fed’s 2% target, the market could turn to Bitcoin as an inflation hedge, CoinGape said.
As a result, Ethereum could also see a concurrent upside move.
A four-hour bullish flag pattern has formed, lending support to the upside outlook.
Earlier this week, prices climbed from around $68,000 to $72,000 before entering a consolidation phase, setting the stage for the next leg higher.
CoinGape said that a breakout above the upper boundary of the parallel channel and its subsequent bounce could produce about a 6.8% rise toward $77,564 for Bitcoin.
That would be the highest level since early February.
ADX is rising and the RSI sits at around 67, indicating momentum remains supportive.
Ethereum is showing a similar pattern, CoinGape noted.
In the four-hour chart, a bullish flag pattern has formed, with ETH already breaking out after a 1.95% rise on April 10 (local time).
However, for the upside reversal to be confirmed, resistance must hold as support, CoinGape explained.
CoinGape said that after this breakout, as much as a 9.46% gain is possible and Ethereum could move above $2,400.
Additionally, RSI crossing above its signal line signals stronger momentum, CoinGape added.
Moreover, the positive cross between the 50-day and 150-day moving averages reinforces the case for a continued rebound in Ethereum, CoinGape noted.
Recent U.S. CPI data shows inflation at 3.3% for March 2026, aligning with forecasts and reflecting higher living costs amid ongoing regional tensions.
In this inflationary environment, Bitcoin and Ethereum could see increased volatility and upside potential as investors turn to cryptocurrencies as inflation hedges.
Inflation pressures are evident beyond the U.S., with Japan’s producer price index rising to a four-month high as energy costs surge, even as some analysts expect rates to stay unchanged there.
CME FedWatch data indicate a 98% probability that the Fed will hold rates in the 3.50% to 3.75% range, supporting a stable backdrop for risk assets.
In this context, CoinGape notes a four-hour bullish flag for both BTC and ETH, backing a potential upside move.
After climbing from around 68,000 to 72,000 earlier in the week, BTC could target the upper channel, with a potential gain of about 6.8% toward 77,564 dollars if the breakout holds.
On-chain momentum and price targets align with a continued recovery for Ethereum as well.
ETH already breached resistance with a 1.95% rise on April 10, and a move beyond 2,400 dollars could extend toward a 9.46% gain if the breakout remains intact.
A bullish cross between the 50-day and 150-day moving averages further underscores the potential for a sustained rebound.
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