People often talk about how stocks are performing or how gold is doing, but many overlook one point — once the cryptocurrency market starts moving, it can catch up to years of traditional asset gains within just a few days.

Just look at the market situation early this morning. BTC surged dramatically, reaching $98,000, then stabilized around $96,000. What exactly happened behind the scenes?

First, the US CPI data released yesterday. The inflation figures were in line with expectations, and the most concerning issues in the market did not materialize. This immediately reassured the entire financial market, and expectations for interest rate cuts strengthened once again. Don’t underestimate this signal — the era where retail investors and big players decide Bitcoin’s fate is long gone. From a macro financial perspective, the most direct positive factor is the Federal Reserve cutting interest rates. Once the US begins to cut rates, a continuous flow of funds will re-enter the trading markets.

Having positive data alone isn’t enough. Another key driver of today’s rally is the escalation of geopolitical risks. When faced with uncertainty, Bitcoin is once again seen as a hedge. A large influx of buying orders flooded in instantly, breaking through several key technical resistance levels.

Market sentiment has indeed been ignited, but this is not the time to relax vigilance. Maintaining rational judgment is always crucial.