Why is Crypto Market up Today?
Cryptocurrency market rebounds, total value reaches $3.57 trillion After rising 2.5% within the past 24 hours. Bitcoin, the largest cryptocurrency, has led the recovery, trading at $101,380. Other top coins, including XRP, Solana, and Dogecoin, also saw strong gains of 8.5%, 7%, and 3.8% respectively.
CPI report brings optimism
The latest increase in cryptocurrency prices follows the release of the US Consumer Price Index (CPI) report for December. this Report shows growth of 0.4%slightly higher than expected by 0.3%. Compared with last year, CPI increased by 2.9%, in line with expectations. The numbers suggest inflation remains a problem, but the steady improvement reassures investors.
Litecoin ETF May Get Approval
Litecoin gaining attention as Nasdaq stock Apply for Litecoin ETF. This is based on the latest feedback from the U.S. Securities and Exchange Commission (SEC). Experts believe the chances of approval are now higher, causing excitement in the market.
Bitcoin ETF sees strong inflows
Demand for Bitcoin exchange-traded funds (ETFs) is strong. On January 16, the Bitcoin ETF recorded Inflow of $626.1 million,follow $755 million inflow the day before. Leading asset manager BlackRock contributed $527.9 million to the surge. These inflows indicate growing interest in BTC after several days of outflows.
Liquidations drive up prices
A surge in cryptocurrency prices has been followed by a wave of liquidations in derivatives markets. Exceed Position worth $326 million Short positions were closed at $182 million in the past 24 hours. This means traders who were short the market were forced to close their positions. Binance set a record for the largest single liquidation, worth $6.09 million.
Bitcoin holds strong above $100,000
Bitcoin has managed to hold on above the key $100,000 mark, a psychological support level that boosts investor confidence. Many analysts believe that if buying pressure remains stable, a stabilization target of $105,000 may be possible.
