What happened: Bitcoin (BTC-USD) jumped nearly 2% on Wednesday to hover above $65,000 per token, while ethereum (ETH-USD) rose 3%.

What’s behind the move: The bounce comes as the outlook for crypto improved this week after June’s Consumer Price Index came in cooler than expected, reducing concerns that the Federal Reserve may hike rates, a move that would impact liquidity conditions.

“I continue to believe the tactical backdrop for crypto is improving, with ETH increasingly standing out as one of the more attractive ways to express that view,” Fundstrat digital asset strategist Sean Farrell said on Tuesday night.

Ethereum, which has jumped 7% over the past five days compared to bitcoin’s…