Key Points
- Bitcoin price spiked above $89,000, as US inflation data is in line with economists’ expectations.
- US Core CPI (YoY) is 3.3% for October, while the CPI (YoY) is 2.6%.
Bitcoin’s price has just recorded a sharp spike above $89,000, as the US inflation data was revealed. The numbers are in line with economists’ expectations, showing increased numbers for October compared to September.
US CPI October Data
According to official reports, the US monthly CPI data was 0.2% for October, compared to 0.2% in September, in line with economists’ expectations. The yearly CPI was 2.6% for last month, compared to 2.4% in September.
The yearly US Core CPI for October is 3.3%, compared to the same figure in September, also in line with economists’ expectations. The monthly Core CPI is 0.3% for October, compared to the same number in September.
CPI data measures prices at the end user level, while Core CPI strips out food and energy prices. Today’s inflation data in the US triggered a sudden surge in Bitcoin’s price.
Bitcoin Price Spikes Above $89,000
At the moment of writing this article, BTC is trading at around $89,400, up by over 5% in the past 24 hours.
Earlier, just when the US CPI data was released, BTC spiked above $89,700, nearing its previous ATH above $89,800. The price surge began from levels around $87,700.
Bitcoin’s price has been on an ascendant trajectory that debuted in full force on November 5, the US election day, and continued, propelled by market optimism after Trump’s victory.
The crypto industry is expecting a friendlier regulatory framework in 2025 when changes will be implemented in Washington.
Optimistic Bitcoin Predictions
Trump’s inauguration is set for January 20, and the most optimistic predicitons suggest that Bitcoin’s rally could continue this year, taking the coin’s price to $100,000.
BTC’s rally has been also fueled by impressive inflows in BTC ETFs. The crypto products recorded close to $2 billion in inflows this week alone.
BTC ETFs are nearing $28 billion in total flows since their January launch, and the total assets locked in BTC ETFs surpassed $94 billion, data from SoSoValue shows.
However, the strongest price catalyst for BTC during the past few days has been the prospect of the US creating a Strategic Bitcoin Reserve in the first 100 days of Trump’s presidency.
