Recently, Bitcoin's rally seems logical, but a closer analysis reveals several interconnected factors behind it. Let's break them down one by one.

**First is the "not bad" inflation data**

The key trigger this time came from the U.S. Bureau of Labor Statistics releasing the CPI data—December's year-over-year inflation rose by 2.7%. It sounds like a minor event, but its impact on the market is significant. Why? Because this number just falls within market expectations, neither exceeding expectations (which could trigger rate hike fears) nor unexpectedly falling. This "just right" status alleviates many investors' concerns.

Following this is the stability in Federal Reserve policy expectations—market confidence that interest rates will remain unchanged at the January meeting has reached 97%. What does this mean? It indicates that, in the short term, monetary policy will not tighten further, giving risk assets some breathing room. Bitcoin, as a risk asset, naturally benefits from this.

**Next is an unexpected "black swan"**

News of the Department of Justice's criminal investigation into Federal Reserve Chairman Powell surprised many. Usually, such negative news would trigger panic, but this time, the situation is somewhat different—it actually activated demand for alternative assets.

The core issue is that this event touched on concerns about "internal stability of the system." When uncertainty arises within the traditional financial system, investors tend to seek assets outside the control of a single authority. Bitcoin, with its decentralization and resistance to censorship, fills this psychological gap. You can think of it as, to some extent, this sudden event actually reinforced Bitcoin's role as a "safe haven."

**Finally, on-chain and liquidity support**

Macro-level positive factors are important, but real support comes from more micro data. After several days of net outflows, Bitcoin ETF funds are beginning to see relief, with signs of capital flowing back in. This indicates that institutional investors have regained some confidence at this level.

From a technical perspective, Bitcoin has formed a solid support zone between $90,500 and $91,200. Buying interest is strong, and once the price stabilizes, bulls quickly take over. Today's surge pushed Bitcoin past the short-term resistance of $92,000, signaling a clear upward trend.

These three factors combined create a complete picture of today's market. Macro positives (inflation data), risk sentiment (judicial developments), and liquidity support (ETF inflows) reinforce each other in a positive feedback loop. This is why the rally appears particularly strong—it is driven not by a single factor but by multiple factors working together.