The Bitcoin price volatility intensified this December 18, 2025, following the release of the latest inflation data in the United States today. The Bureau of Labor Statistics (BLS) confirmed that the Consumer Price Index (CPI) for November unexpectedly fell to 2.7% year-on-year. This event triggered an immediate reaction in global financial markets during the Wall Street opening session.
The official report detailed that annual inflation dropped from the previously recorded 3.0% to levels not seen since March of 2021. Likewise, core inflation stood at 2.6%, beating the expectations of analysts who had predicted much higher figures for this month. Bitcoin briefly touched $89,500 before undergoing a rapid correction due to intense profit-taking by traders.
On the other hand, the lack of data for October due to the US government shutdown added uncertainty to the current economic projections. Nevertheless, investors interpreted the November figure as a positive signal that could potentially accelerate future interest rate cuts by the Fed. The crypto community cautiously observes the erratic movements that define the current and complex market behavior.
A Breather for Risk Assets Amidst the Economic Cooling Trend
Many analysts suggest that this “massive miss” in inflation forecasts could be very well received by the Federal Reserve officials soon. In this way, the probabilities of a new rate cut at the January meeting have begun to increase discretely among investors. Risk assets like cryptocurrencies usually benefit from a much more flexible and accommodative monetary policy environment.
In addition, the fall of the US dollar and bond yields following the announcement temporarily strengthened the position of digital asset buyers. However, total liquidations in the crypto market exceeded 630 million dollars in the last 24 hours of active operation. The market remains trapped in a constant struggle to establish a clear and sustainable long-term trend.
Does This Price Fractal Represent a Buying Opportunity or a Liquidity Trap?
The current technical structure of Bitcoin seems to be repeating patterns observed during the first quarter of this year according to experts. Therefore, some traders fear that the price must still seek a new macroeconomic bottom before starting a definitive bull rally. Suspicions of market manipulation persist due to the constant fakeouts in both directions during recent trading sessions.
According to the CME Group’s FedWatch Tool, there is currently a 26% probability that another rate cut will be approved in January. However, most financial companies prefer to wait for December data to confirm if disinflation is a durable and real trend. Investment success will depend on Bitcoin’s ability to break through the significant $90,000 resistance level.
Finally, the year 2026 is shaping up to be a period of high volatility if inflation approaches the 2% target set. Therefore, investors must prepare for possible deep corrections before the market finds a solid and stable balance for the future. The evolution of macroeconomic indicators will continue to dictate the growth pace of major digital assets.
