#Bitcoin breaks $96,000#
Hot Topic Overview
Overview
Bitcoin price surged past $96,000 on Tuesday, after falling below $90,000 a day earlier. The surge was driven by lower-than-expected US Producer Price Index (PPI) data and speculation that President Trump could issue an executive order supporting cryptocurrencies. Dogecoin and Ripple led the gains in altcoins, jumping 6%-7%. However, traders remain focused on the Consumer Price Index (CPI) report due Wednesday, which could have a significant impact on the market and provide more clues about the Fed's policy path this year. Despite this, some analysts remain cautious about potential short-term market volatility around the inauguration.
Ace Hot Topic Analysis
Analysis
Bitcoin surged past $96,000, boosted by Dogecoin and XRP outperforming the broader crypto market and a lower-than-expected US Producer Price Index (PPI) reading. Although Bitcoin fell below $90,000 on Monday, news of Donald Trump preparing to issue an executive order on his first day to benefit the cryptocurrency industry fueled buying. Additionally, a decline in market expectations for US rate cuts this year also boosted Bitcoin's price. However, traders are eyeing the Consumer Price Index (CPI) report, due out on Wednesday, which could inject another wave of volatility into the market and provide traders with further clues on the Fed's policy path this year. Moreover, Trump's inauguration on January 20 could also influence the market, as expectations grow for the new president's pro-cryptocurrency actions. Despite this, K33 Research believes that selling BTC at the inauguration would be far less attractive if there is no substantial momentum revival within the next six days. Overall, Bitcoin remains range-bound above $90,000 but recent spikes in bond yields and the US dollar have shaken global markets.
Public Sentiment · Discussion Word Cloud
Public Sentiment
Discussion Word Cloud
Classic Views
Bitcoin breaks $96,000, driven by US Producer Price Index (PPI) data coming in lower than expected and expectations that Trump could be supportive of cryptocurrencies.
Traders are watching US inflation data, particularly Wednesday's release of the Consumer Price Index (CPI) report, which could influence the Federal Reserve's policy path this year.
Dogecoin (DOGE) and Ripple (XRP) have outperformed the broader crypto market, leading the gains among the major altcoins.
While Trump's inauguration could have an impact on the market, K33 Research believes the incentive to sell BTC on the inauguration is far less unless there's a substantial momentum recovery in the coming days.