Bitcoin Hits $112K as CPI Data Makes Markets Dance & Fed Cuts Rates – Hold Your Hats!

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Key Points:

  • Bitcoin‘s price action has all the grace of a ballroom dancer-whipping around like a mad waltz on cooler-than-expected CPI data.

  • Risk assets suddenly feel like they’ve just discovered a secret stash of magic beans, with the Fed seemingly committed to rate cuts until 2026. Let the good times roll!

  • BTC bumps its head at the $112,000 mark-someone get this coin a helmet. But hey, some solid support is sprouting up like a well-watered plant.

Friday saw Bitcoin (BTC) doing its best impersonation of a rollercoaster after US inflation data made stocks reach new dizzying heights.

CPI Relief Fuels New Highs for US Stocks

According to the fine folks at CryptoMoon Markets Pro and TradingView, BTC zipped up to $112,000 before reversing faster than a squirrel on an espresso shot when the market opened on Wall Street.

The September Consumer Price Index (CPI) report decided to be the good guy for once and came in cooler than expected, giving a much-needed boost to crypto and risk assets. Of course, both CPI and core CPI were a nifty 0.1% below their projected levels, hitting around 3%, as released by the US Bureau of Labor Statistics (BLS). Who knew inflation could be so… accommodating?

Now, in true financial fashion, The Kobeissi Letter-who are always ready with the latest hot take-replied with, “Well, this paves the way for yet another Fed rate cut next week, no doubt.”

It’s not every day you get a report during a government shutdown, and yet, the S&P 500 decided to go for a fresh record. It’s like a party where everyone’s invited, even the shutdown!

For those who enjoy a good spreadsheet, CME Group’s FedWatch Tool, tracking the market’s predictions, all but crowned a 0.25% rate reduction on October 29th. Champagne all around!

“Financial conditions are so loose right now, they might just fall off the edge of the Earth!” quipped Mosaic Asset Company, in their latest analysis. “This should keep the economy ticking along nicely-especially since corporate earnings are putting on their dancing shoes to keep the rally going into next year.”

“Expect a fantastic 2026, if this keeps up!”

BTC Price Struggles Despite CPI Relief

Despite the champagne showers on the stock market, Bitcoin still had to wrestle with some sell-side pressure as the US market opened. Think of it like trying to do a tango while stepping on your partner’s toes.

Traders were as nervous as a cat in a room full of rocking chairs, with X commentator Exitpump warning that the market could “dump faster than a teenager’s grades after finals” if things went south.

$BTC Thin bid side on perps orderbook btw, can dump quickly

– exitpump (@exitpumpBTC) October 24, 2025

Diego White, a trader who’s probably seen more than his fair share of market madness, described exchange order-book liquidity as “heavy” like a bag of bricks. BTC seemed to be inching towards a fresh ladder of bids around $110,000-just a step away from a new level of thrills and chills.

Then, Caleb Franzen, the financial mastermind behind Cubic Analytics, reminded us all that Bitcoin was currently dancing with the 200-day exponential moving average (EMA), but needed to “break & close above the 21/55” EMA levels. It’s like Bitcoin’s trying to pass an exam, and right now, it’s stuck on the C+ tier.

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2025-10-24 17:42