Bitcoin held near key support levels as inflation data clarified interest rate expectations.
December personal consumption expenditures matched forecasts at 2.8%, reinforcing a higher-for-longer policy outlook.
Crypto strategist Matt Mena said the data cleared uncertainty that had weighed on markets since late 2025.
“This morning’s December PCE report has provided the definitive anchor the market needed to clear the lingering data fog,”
Matt Mena said.
Core PCE also printed at 2.8% year on year, supporting a soft-landing economic narrative.
Bitcoin retested support near $89,000 as broader crypto market capitalisation stabilised around $3.1tn.
“Bitcoin retested the $89K support level on the news and the wider crypto marketcap settled at the $3.1 trillion support,”
Matt Mena said.
Strong GDP growth and firm inflation reduced expectations for near-term interest rate cuts.
Mena said bitcoin is increasingly behaving as a macro hedge supported by low exchange balances and ETF inflows.
Renewed spot ETF demand has contributed more than $59bn in inflows, reinforcing downside support.
Geopolitical developments and easing trade tensions were cited as potential catalysts for renewed risk appetite.
“Looking ahead, the road to $100,000 and a $4 trillion total crypto market cap is paved with high-impact catalysts,”
Matt Mena said.
He added that cooling tensions linked to Greenland could trigger a broader market relief rally.
“If macro data continues to come in line with expectations and tensions in Greenland cool, we expect bitcoin to break the $93.5K–$95K resistance,”
Matt Mena said.
At the time of reporting, Bitcoin price was $89,803.83.