US inflation eases, boosting risk appetite; Bitcoin price breaks through $95,000, leading the crypto market

The cryptocurrency market in 2026 is experiencing a clear rebound. Driven by improving investor sentiment and macroeconomic conditions, Bitcoin’s price surged past the $95,000 mark on Wednesday, reaching a new high in a week and approaching the upper boundary of the price range established in January. Market risk appetite has also increased, with mainstream crypto assets such as Ethereum, Solana, and Cardano generally rising.

From the data perspective, Bitcoin has gained over 4% in the past 24 hours, indicating renewed capital inflow into this scarce non-sovereign asset. Ethereum performed relatively stronger, rising more than 7% in a single day, with its price climbing back to around $3,330. Meanwhile, tokens like SOL, ADA, XRP, and BNB on BNB Chain generally increased between 8% and 9%, reflecting that the market is not limited to a single asset recovery but is showing an overall warming trend.

Overall, the immediate catalyst for this rally comes from the latest U.S. inflation data. Inflation levels were below market expectations, further reinforcing investors’ expectations that the Federal Reserve will continue its rate-cutting path in 2026. The easing of inflation has alleviated upward pressure on bond yields and improved the overall liquidity environment, a macro combination that has historically favored Bitcoin’s price movement and the valuation recovery of the crypto market.

Political uncertainties have also amplified market volatility. Reports indicate that the U.S. Department of Justice is investigating matters related to the Federal Reserve, causing a temporary weakening of the dollar. Against this backdrop, assets considered less affected by central bank credit risk have regained favor, and Bitcoin’s “store of value” attribute has been reaffirmed by the market.

In the derivatives market, this rally was accompanied by a large-scale short squeeze. Data from Coinglass shows that over $680 million in crypto derivatives were liquidated in the past day, with the vast majority being short positions. As prices surged rapidly, leverage funds re-entered the market, which could further increase short-term market volatility.

Additionally, traditional financial markets are also strengthening in tandem. Asian stock markets hit new highs for the phase, precious metal prices remain high, and overall, investors are more inclined to allocate assets that benefit from loose monetary policies and currency uncertainties. For the crypto market, this macro environment provides strong support for the further performance of Bitcoin and mainstream tokens in 2026.