Bitcoin once again surpassed the important psychological milestone of $100,000 on January 17, 2025, marking an impressive recovery amid signs of cooling inflation and positive support signals from the market.



Inflation Cooling Down, Bitcoin Gaining Momentum



The price of Bitcoin has increased nearly 4% in the past 24 hours, reaching $100,444 on Wednesday morning, thanks to the latest inflation figures from the U.S. Data from the U.S. Bureau of Labor Statistics showed that overall inflation in December rose as expected, while core inflation eased slightly, alleviating market concerns about the Fed potentially continuing to maintain high interest rates in 2025.



Matt Mena, a research strategist at #21Shares commented:



“The final barrier for the market is concerns about prolonged inflation. When data shows inflation stabilizing, this is the news the market needs for Bitcoin to break the $100,000 mark.”



Positive Effects Spread to Altcoins



Not only Bitcoin, but also major altcoins have recorded notable growth:


• XRP increased 11%, surpassing the December peak of $2.82, reaching nearly $3.


• Ethereum (ETH) increased nearly 8%, reaching $3,460.


• Dogecoin (DOGE) and Solana (SOL) increased to $0.38 and $203, respectively.



Support from Macroeconomic Factors and Policies



Bitcoin first surpassed $100,000 in December 2024, thanks to:


1. Approval of a spot Bitcoin ETF in the U.S.


2. The victory of President Trump, who is considered friendly towards cryptocurrencies.


3. Positive signs from the U.S. economy.



Concerns about inflation had previously caused Bitcoin to drop from a peak of $108,000 to below $90,000 earlier in the week, but optimism returned as the market anticipated President Trump would announce crypto-supporting decrees on his first day in office. This could include the establishment of a presidential cryptocurrency council and other regulatory initiatives.



Conclusion



Bitcoin surpassing the $100,000 mark is not only a significant milestone but also reflects investor confidence in the future of the crypto market. With support from macroeconomic factors and upcoming policies, Bitcoin may continue to grow strongly.



Risk warning: The cryptocurrency market is highly volatile and carries high risk. Investors need to carefully consider before making decisions. #anhbacong