Bitcoin dipped below $95,000 on February 12, reaching local lows of $94,091 on Bitstamp following surprisingly high U.S. inflation data. The January Consumer Price Index (CPI) rose by 0.5%, exceeding expectations by 0.2%, while the year-on-year increase was 3%, compared to a forecast of 2.9%. This marked the highest CPI reading since June 2024 and raised concerns about persistent inflation in the U.S., causing traders to adjust their expectations for Federal Reserve rate cuts. Speculations indicated that rate cuts are less likely in the near term, with October 2025 being the favored date for potential easing. As the market reacted to these developments, Bitcoin struggled to maintain its position in the mid-$90,000 range. Analysts expressed caution, indicating a critical juncture—if Bitcoin does not rebound above important resistance levels, further declines could be anticipated, potentially testing levels in the low $80,000s.

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