Bitcoin Price Holds Steady Ahead of U.S. CPI Release; Divergent Trends in the Crypto Market

The cryptocurrency market witnessed mixed activity in early trading on October 23, as Bitcoin (BTC) navigated tightly within the $108,000–$109,000 range. Market participants remain cautious ahead of the highly anticipated U.S. Consumer Price Index (CPI) release on October 24, which is expected to influence broader macroeconomic trends and, potentially, asset prices throughout the digital asset sector.

As reported by CoinMarketCap, Bitcoin was trading at $109,071 as of 9 a.m. in New York, up 0.9% from the previous day. Bitcoin’s market capitalization reached $2.1754 trillion, representing 59% of the total digital asset market. Daily trading volume for BTC came in at $69.1 billion—slightly lower than the previous day yet relatively solid, reflecting sustained engagement from investors.

Other major cryptocurrencies showed varying movements. Ethereum (ETH) dipped marginally by 0.1%, trading at $3,843. Binance Coin (BNB) advanced 1% to $1,090, and XRP gained 0.4%, trading at $2.39. Solana (SOL) remained stable near $190, while broad investor sentiment softened. The Fear and Greed Index fell to 28, signaling “Fear” in the market, a decrease from the prior day’s reading.

Bitcoin Struggles at $110,000 Resistance Level

Bitcoin has struggled to decisively breach the $110,000 mark, encountering persistent resistance near the $112,000 threshold. Intraday price movements saw BTC trade as low as $106,786 before climbing back up to a daily high of $110,162. This reflects the complex tug-of-war between bullish buyers attempting to push prices higher and bearish pressure keeping BTC below key psychological levels.

A short-term recovery in response to renewed buying interest has lifted Bitcoin off its recent lows of $103,530, but technical indicators underline the uncertainty gripping the market. The Relative Strength Index (RSI) stands at 43, indicating neutral to weak sentiment with little directional bias. The Moving Average Convergence Divergence (MACD) presents a bearish outlook, standing at -2,154. On the positive side, Bitcoin’s 200-day moving average of $108,300 provides moderate support.

Market analysts highlight the importance of Bitcoin breaking through the $109,000–$110,000 range with substantial trading volume to signal a bullish breakout. Should buying demand remain insufficient, BTC risks retesting the $106,000 support zone—a level critical to maintaining broader market stability.

U.S. CPI Data: Key Catalyst for Market Direction

Eyes are firmly on the release of September’s U.S. Consumer Price Index (CPI) data slated for October 24, which is anticipated to be a pivotal moment for global financial markets, including cryptocurrencies. The CPI, closely watched as a measure of inflation, could influence Federal Reserve policy decisions regarding interest rates.

A softer-than-expected CPI reading could bolster optimism in the market, as expectations for potential rate cuts would rise. In such an event, Bitcoin may gain traction, pushing past the $112,000 resistance and charting a more bullish course. Conversely, a stronger-than-expected inflation figure could reignite fears of prolonged monetary tightening, which might drive Bitcoin below the $106,000 support level, deepening negative sentiment across risk assets.

Altcoin Performance: Mixed Movements and Speculation Flourish

Altcoins demonstrated varied performance during the session. Dogecoin (DOGE) edged up 0.2% to $0.193, alongside Cardano (ADA), which climbed 0.6% to $0.64. Meanwhile, HyperLiquid (HYPE) recorded impressive gains, surging over 10% to $39.39—a sign of intensified speculation in niche markets.

Overall market capitalization across digital assets stood at $3.67 trillion, while daily trading volume remained robust at $181 billion. Analysts predict the crypto market will maintain its consolidation phase, with Bitcoin likely range-bound between $108,000 and $110,000 until the CPI release provides critical clues for future price trajectories. As inflation data looms, market participants are expected to tread cautiously, calibrating their strategies based on a rapidly evolving landscape.

The upcoming CPI announcement offers a vital hinge point for traders and investors, potentially reshaping sentiment across digital assets and determining Bitcoin’s ability to sustain upward momentum or face temporary setbacks.