Bitcoin Reaches New Eight-Week Highs, Shrugging Off Inflation Data
Bitcoin (BTC) experienced a significant surge, reaching $97,000 at the opening of Wall Street trading on Wednesday. This upward movement occurred despite the release of resurgent US inflation data for November, which crypto markets largely disregarded.
Data from TradingView indicated that BTC price action was on the rebound after consolidating gains from the previous day. With renewed buying power during US traditional finance trading sessions, BTC/USD diverged from stock market performance following the release of Producer Price Index (PPI) inflation data.
The Bureau of Labor Statistics (BLS) confirmed that the PPI and core PPI for November 2025 came in at 3%, exceeding the anticipated 2.7%. An official statement from the BLS detailed that "The November increase in prices for final demand can be traced to a 0.9-percent advance in the index for final demand goods. Prices for final demand services were unchanged."
Higher inflation typically implies stricter economic policy reactions from the Federal Reserve, potentially leading to less liquidity available for crypto and other risk assets. However, Bitcoin bulls demonstrated little inclination to halt the rebound. Markets had already factored in a pause in interest-rate changes at the Fed's upcoming January meeting.
Trading resource The Kobeissi Letter commented on the situation via X (formerly Twitter), stating, "PPI inflation is now up to its highest level since July 2025. The Fed will PAUSE rate cuts in 2 weeks."
Earlier reports had highlighted broad market acceptance of potential macroeconomic risk factors, including a possible rejection of US trade tariffs by the Supreme Court. While a decision was anticipated on the day, the court ultimately did not release any ruling on the matter, as the schedule for rulings is not disclosed in advance.
BTC Price: Focus on the $93,500 Weekly Close
Looking ahead, trader and analyst Rekt Capital emphasized that the weekly candle close would be of key importance for Bitcoin's price trajectory.
According to Rekt Capital, successfully flipping the 2025 yearly open at $93,500 to support would position BTC/USD in a situation similar to previous rebounds. He stated on X, "Bitcoin will need to simply hold above $93500 heading into the new Weekly Close. History suggests a retest of $93500 into new support could also be on the cards."
"Bitcoin is now hovering above $93500, on the cusp of positioning itself for a repeat of November 2024 and April 2025 history (green circles)," he told X followers alongside an explanatory chart.
In April of the previous year, BTC/USD briefly dipped below $75,000, also influenced by tariff-related news. Following this dip, the cryptocurrency embarked on a significant 50% bull run over the subsequent weeks.