Bitcoin has reclaimed the $93,000 mark for the first time in nearly a week, rising over 2% in the past 24 hours. This surge comes as trading volume jumped 20% to $88.9 billion, signaling a potential shift in market dynamics.
U.S. inflation data shows consumer prices rose 0.3% in December, with an annual rate of 2.7%, holding steady from the previous month. This stability may be influencing Bitcoin's price action, as investors assess economic indicators.
At the time of writing, Bitcoin was trading at $93,406, according to CoinGecko. Prediction markets now show an 80% probability that Bitcoin will reach $100,000, rather than fall back to $69,000, reflecting growing optimism among users on platforms like Myriad.
However, analysts caution that the increased volume doesn't necessarily mean a bullish surge is imminent. Glassnode reported that spot CVD (cumulative volume delta) has deteriorated, indicating rising sell-side dominance and a more defensive trader posture. This metric tracks whether buyers or sellers are more aggressive, with falling CVD pointing to seller control.
Trader sentiment remains cautious, with the Crypto Fear & Greed Index improving slightly from Extreme Fear but still at a Fear rating. Analysts highlight that the U.S. Supreme Court's upcoming decision on Trump's tariff policies could influence market volatility, as past announcements have triggered waves in equities and crypto.
QCP Capital analysts note that this ruling "could further influence cross-asset positioning and risk sentiment," adding another layer of uncertainty to Bitcoin's near-term outlook.
In related news, a draft U.S. Senate bill could grant cryptocurrencies like XRP, Solana, and Dogecoin the same legal status as Bitcoin and Ethereum, potentially offering regulatory relief and impacting the broader crypto market.
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