U.S. December PPI Year-over-Year 3.3%, appears higher than November's 3%, but far below market expectations of 3.5%—this set of data is like a cold shower, directly dousing the market's enthusiasm for rate cuts. Core PPI unexpectedly remained flat month-over-month, food prices even fell by 0.1% (vegetables dropped sharply by 15%), but energy prices rose by 3.5% due to short-term factors, and service prices remained stable. It seems inflation is easing, but in reality, stickiness remains evident.

CPI was announced last night at 2.7% YoY, in line with expectations, but the performance of PPI has made Federal Reserve officials collectively cautious. Barkin emphasized "inflation has not reached the target," Williams straightforwardly said "no reason for rate cuts in the short term," and CME data shows only a 26.8% chance of rate cuts in March—this means the market's optimistic expectations for rate cuts at the beginning of the year are quickly cooling down.

For the crypto market, this wave of "mild inflation" has become a positive. BTC has already rebounded and broken through $96,000, with a 24-hour increase of 2.5%, and mainstream altcoins are following suit. Investors' logic is clear: PPI did not trigger tightening concerns, and the market is still betting on the start of a rate cut cycle by mid-year.

But the question is—will inflation stickiness really delay the timing of rate cuts? Can June truly kick off a rate cut cycle as scheduled? Can BTC leverage this rebound to break through the $100,000 mark? These are the issues to watch in the coming period.