Bitcoin has reached the $100,000 mark again after a cold US inflation report

Bitcoin The dollar rose again above $100,000 on Thursday after data released on Wednesday showed that core inflation in the United States rose less than expected last month, raising the possibility of further interest rate cuts by the Federal Reserve.

Overnight, the data showed Consumer price index The Consumer Price Index (CPI) rose in line with expectations at an annual rate of 2.9% in December, from 2.7% in November. But core inflation, which excludes food and energy prices, rose 3.2%, below expectations of 3.3%.

Investors were particularly encouraged by the latest inflation reading since data released Tuesday showed that U.S. producer prices rose moderately in December.

Following US consumer price inflation data, traders are now pricing in two Fed rate cuts in 2025, compared to one cut after last week’s strong labor market numbers, according to the CME FedWatch tool.As of 10:22 a.m. EST, Bitcoin was trading at $99,589, up 2.5%, after reaching an intraday high of $100,781. Meanwhile, Ethereum price rose 4.5% to $3,370.

“Bitcoin has extended its recovery, reaching a high of $100,860 and is currently challenging the critical resistance at $100,000,” said Idul Patel, CEO of CoinSwitch Markets Desk. “Risk assets gained momentum after a weaker CPI report boosted the Expected market sentiment. “Bitcoin has risen above $100,000 after a week of consolidation, indicating a strong bullish return,” Modrics said. “Data that meets expectations has eased macroeconomic concerns, raising hopes for dovish Fed policies.” Investor Confidence as Oklahoma, Texas Advance Bitcoin Reserve Proposals “Crypto-friendly announcements will continue to drive momentum, paving the way for further market growth,” Edul added.

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Other major altcoins also saw significant gains on Thursday. XRP rose 9.7%, Solana gained 6.4%, and Dogecoin increased 4.2%. Cardano rose by 4%, followed by Tron (5.5%), Avalanche (6.9%), Hedera (11.5%), and Litecoin (16%).

“XRP reached a 7-year high above $3, driven by a massive $3.8 billion token accumulation,” CoinSwitch said.

The volume of all stablecoins now stands at $142.48 billion, representing 91.4% of the total 24-hour cryptocurrency market volume, according to data available on CoinMarketCap. Meanwhile, the global cryptocurrency market capitalization saw a 3.2% rise, reaching $3.49 trillion.

In the past 24 hours, the market value of Bitcoin, the world’s largest cryptocurrency, rose to $1.972 trillion. Bitcoin dominance currently stands at 56.59%, according to CoinMarketCap. Bitcoin volume in the past 24 hours increased by 5.2% to $57.86 billion.

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