Early morning on January 14th, the crypto market experienced a strong rally. Bitcoin (BTC) started from a low of $91,000 on the evening of the 13th and soared over $5,000 within just a few hours, successfully breaking through the critical $95,000 level. As of 9:00 today, Bitcoin is quoted at approximately $95,200, with a 24-hour increase of 4.7%, and the intraday high approaching $96,000. Ethereum (ETH) performed even better, rising by 7.2% to surpass the $3,320 mark, leading the mainstream cryptocurrencies. Additionally, Dogecoin (DOGE) surged over 15%, Solana (SOL) increased by more than 8%, and privacy coins like Monero (XMR) hit new all-time highs. The market shows clear signs of capital rotation, with the overall crypto market cap returning to $3.1 trillion, up over 4% in 24 hours.
Market analysis indicates that the core drivers of this surge are two major super-positive catalysts:
First, the December US CPI data released a "dovish signal," with the overall year-on-year increase at 2.7%, in line with expectations, and core CPI rising by 2.6%, better than expected. This is interpreted as an important signal that inflation has peaked. The market's expectation for the Federal Reserve to cut interest rates in 2026 has shifted from once to more than twice, benefiting risk assets collectively.
Second, the official release of the US CLARITY Act bill significantly reduced regulatory uncertainty, greatly boosting market confidence. Data on capital flows show that this rally was accompanied by notable institutional entry and short squeeze events. Over $200 million in crypto positions were liquidated within 24 hours, with shorts being heavily liquidated. Previously, MicroStrategy, which has been steadily accumulating Bitcoin, added over 13,000 BTC last week, worth more than $1.2 billion. Whale addresses also continue to hoard coins, indicating that institutional demand for long-term crypto asset allocation remains strong.
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Early morning on January 14th, the crypto market experienced a strong rally. Bitcoin (BTC) started from a low of $91,000 on the evening of the 13th and soared over $5,000 within just a few hours, successfully breaking through the critical $95,000 level. As of 9:00 today, Bitcoin is quoted at approximately $95,200, with a 24-hour increase of 4.7%, and the intraday high approaching $96,000. Ethereum (ETH) performed even better, rising by 7.2% to surpass the $3,320 mark, leading the mainstream cryptocurrencies. Additionally, Dogecoin (DOGE) surged over 15%, Solana (SOL) increased by more than 8%, and privacy coins like Monero (XMR) hit new all-time highs. The market shows clear signs of capital rotation, with the overall crypto market cap returning to $3.1 trillion, up over 4% in 24 hours.
Market analysis indicates that the core drivers of this surge are two major super-positive catalysts:
First, the December US CPI data released a "dovish signal," with the overall year-on-year increase at 2.7%, in line with expectations, and core CPI rising by 2.6%, better than expected. This is interpreted as an important signal that inflation has peaked. The market's expectation for the Federal Reserve to cut interest rates in 2026 has shifted from once to more than twice, benefiting risk assets collectively.
Second, the official release of the US CLARITY Act bill significantly reduced regulatory uncertainty, greatly boosting market confidence. Data on capital flows show that this rally was accompanied by notable institutional entry and short squeeze events. Over $200 million in crypto positions were liquidated within 24 hours, with shorts being heavily liquidated. Previously, MicroStrategy, which has been steadily accumulating Bitcoin, added over 13,000 BTC last week, worth more than $1.2 billion. Whale addresses also continue to hoard coins, indicating that institutional demand for long-term crypto asset allocation remains strong.