Bitcoin experienced a notable decline, dipping below $95,000 to reach levels as low as $94,091 as market reactions followed the release of US inflation data. The January Consumer Price Index (CPI) exceeded expectations, recording a 0.5% monthly increase, which is 0.2% higher than anticipated, and a year-on-year change of 3%, compared to a 2.9% forecast. Traders reacted to this news, with expectations for Federal Reserve rate cuts diminishing significantly. New estimates now suggest only a 2.5% chance of rate cuts in March, with delays anticipated into 2026. While Bitcoin sought a modest rebound, market analysts highlighted critical resistance at $96,690 and support at $93,630. A decisive move above these levels could strengthen bullish sentiments, while a fall below $93,630 might lead to further downside risk. Overall, the market is adjusting to a longer period of high interest rates amidst ongoing inflation concerns.

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