Bitcoin price surged past $111,000 today after new U.S. inflation data showed a milder-than-expected rise in consumer prices, strengthening expectations that the Federal Reserve will move ahead with additional rate cuts this year.
The Consumer Price Index (CPI) rose 0.3% month-over-month in September, below economists’ forecasts of 0.4%, while “core” CPI — excluding food and energy — rose just 0.2%, also softer than expected.
On a year-over-year basis, both headline and core inflation registered 3.0%, slightly below estimates.
The release, delayed 10 days by the ongoing government shutdown, was one of the few major economic reports to make it out this month. An exception was made due to a legal requirement for the Social Security Administration to publish its annual cost-of-living adjustment.
The data reaffirmed market expectations for a 25 basis point rate cut at next week’s Federal Reserve meeting and another in December, which would bring the policy rate down to a 3.75–4.00% range.
On Polymarket, there is a 97% that of a 25 basis point cut next week.
That being said, White House press secretary Karoline Leavitt praised Friday’s CPI report for coming in below expectations but warned that the ongoing government shutdown could prevent the release of October’s inflation data next week
All other economic reports remain paused due to the shutdown that began October 1.
Treasury yields slipped and the dollar weakened following the release, while the Nasdaq 100 added nearly 1%. For Bitcoin, the softer CPI print provided fresh fuel for the rally that began earlier in the week, lifting the asset higher in early Friday trading.
Bitcoin price this week
Bitcoin dipped around $107,000 earlier this week as analysts from VanEck and Standard Chartered maintained a bullish outlook despite recent volatility.
Standard Chartered’s Geoffrey Kendrick predicted a brief dip below $100,000 soon amid U.S.–China tensions but saw it as a final buying opportunity before a rebound toward $200,000 by year-end.
VanEck’s ChainCheck report described October’s 18% correction as a liquidity-driven mid-cycle reset, not a bear market.
Analysts noted normalized leverage, strengthening macro demand, and growing institutional activity. VanEck said deleveraging cleared speculative excess, creating entry opportunities as Bitcoin’s role as an “anti–money printing” asset deepened.
Bitcoin’s current price is about 13% below its peak of roughly $126,000, reached earlier in October on October 6, 2025.