Ethereum Surges Past $2,600 as Crypto Market Sees Sharp Recovery

Ethereum's price surged past $2,600 for the first time in eight months on September 11. The cryptocurrency outperformed its peers, with Bitcoin rising around 2.7% and Solana gaining 5.3%. Ethereum's price jumped over 8% to reach $2,660 according to Coinbase data.

The rally was triggered by the August core CPI reading, which rose 0.3% month-over-month, exceeding estimates. This development pushed market expectations for a Federal Reserve rate hike higher, with the CME FedWatch tool showing an 88% probability of a hike.

Crypto analyst Michael van de Poppe stated that 'the correction is over' and forecasted that Bitcoin will set new highs. Tom Lee, Fundstrat and BMNR chairman, also expected a benign August core CPI reading and argued that it would lead to a disproportionately large move higher in the market.