Bitcoin nears $96,000 after US CPI shows stable inflation, highest in nearly two months

Bitcoin was trading just above $94,981 at around 11.24 am today, January 14, representing a gain of 3.35% from the previous day and 2.68% increase in a week. The world’s largest cryptocurrency dipped to a low of $93,448 and peaked at $95,801 in the morning session.

“Bitcoin is gaining strong momentum, trading near $95,500. On-chain data adds to the positive setup, with short-term holders moving back into profit. For bullish continuation, Bitcoin needs a firm daily and weekly close above the $92,000–$94,000 zone to reclaim key moving averages. Failure to hold this range could see BTC consolidate or retest support near $88,000,” said Akshat Siddhant, Lead Quant Analyst, Mudrex.

As per Riya Sehgal, Research Analyst, Delta Exchange, the rally appears to be driven by spot accumulation and improving risk appetite, with on-chain data showing liquidations of short positions as Bitcoin moved above key resistance levels. Overall sentiment remains bullish, supported by both institutional and retail inflows.

Other crypto tokens, too, were volatile. ETH was up 6.39%, ADA 7.57%, XRP 4.32%, SOL 3.38%,  and Tether 0.09% in the past 24 hours.

“Dash is the top gainer for the day with a magnificent rise of over 43.87%, followed by Story by 37.52%, Pepe by 17.57%, and Optimism & Pudgy Penguins by over 15% each. Besides, the losers include Memecore and Bitcoin Cash, with a drop by 4.76% and 1.73% resp,” said CoinDCX Research Team

Check out the cryptocurrency prices on January 14 as of 11.23 am

Why is Bitcoin up? 

“Bitcoin trading at its highest levels in nearly two months, climbing above the $96,000 mark, reflects a clear shift in market structure as the new year unfolds. After an extended crypto winter marked by cautious positioning and constrained liquidity, the first half of January is showing improving strength, with Bitcoin firmly leading the recovery. Over the past week, price action has followed a steady upward path, supported by consistent buying interest and the ability to defend key support zones,” said Avinash Shekhar, Co-Founder & CEO, Pi42

According to CoinSwitch Markets Desk, BTC climbed back above $96K after the US CPI data showed inflation remains stable at 2.7% YoY, easing fears of further Federal Reserve rate hikes. The data points to a balanced macro environment, prices are still rising, but neither accelerating nor collapsing, supporting risk assets like crypto.

What’s happening in the crypto market?

WazirX founder Nischal Shetty said,  “Recent developments around the Digital Asset Market Clarity Act have played a meaningful role in Bitcoin’s move toward the $95k mark over the past day. The latest draft brings much-needed clarity on how digital assets are regulated, clearly separating market oversight under the CFTC from investor protection and fraud enforcement under the SEC. This kind of regulatory certainty is exactly what long-term capital looks for.”

Here’s a rundown on what’s happening in the crypto market, according to Shetty:

• Global markets have turned slightly risk-on after the World Bank’s improved growth outlook. Easing liquidity conditions could support higher activity across DeFi and stablecoins, though slower growth in some emerging markets may temper how sustainable this liquidity expansion becomes.
• On the macro side, rising oil prices driven by Middle East tensions and a weaker Japanese yen are adding volatility. India continues to stand out with strong growth prospects, high crypto adoption, and clearer compliance guidelines via the current FIU framework, which strengthens trust in the ecosystem.
• Ethereum’s recent movement is also notable, driven by long-term bullishness on network upgrades and developer-friendly improvements, signalling structural demand beyond Bitcoin-led momentum.