Bitcoin Surges Above $100,000 Ahead of Inauguration

Bitcoin has regained momentum, briefly surpassing $102,000, following the release of favorable US Consumer Price Index (CPI) data for December. The cryptocurrency's rally is buoyed by speculation that President-elect Donald Trump may prioritize crypto policies, including the potential formation of a crypto advisory council. Bitcoin's correlation with the Nasdaq 100 has also reached a two-year high, indicating its growing sensitivity to economic factors, particularly regarding interest rate adjustments by the Federal Reserve. The positive CPI data, which showed lower inflation than expected, has sparked optimism across the cryptocurrency market, contributing to a broader surge that includes XRP and Solana. Additionally, demand for Bitcoin is further supported by ongoing legislative efforts for Bitcoin Reserve bills in various US states. As Trump prepares to take office, market participants are closely watching his upcoming policy moves regarding cryptocurrencies.