Bitcoin Bounces Back Above $100K as XRP, Dogecoin and Solana Rebound

Bitcoin has once again surpassed $100,000 per coin, leading several leading altcoins after data showed that U.S. inflation was growing at an expected rate.

According to CoinGecko, the leading cryptocurrency by market cap is currently trading at $100,500 per coin. It has gained 5% in the last 24 hours, and almost as much in the seven days.

Bitcoin dipped below $95,000 on December 10, triggering massive liquidations of long and short positions, but it has since gradually recovered. Last week, the leading cryptocurrency broke the $100,000 price mark for the first time, hitting a new all-time high of $103,679.

Data from the Bureau of Market Statistics showed that the benchmark consumer price index (CPI), which excludes food and energy prices, rose 0.3% last month, in line with analysts’ expectations.

Experts now expect the Federal Reserve to cut interest rates again next month as inflation appears to be under control. U.S. stocks also rose on the news.

Bitcoin and the cryptocurrency market as a whole are showing positive momentum, especially as interest rates decline as risk-averse investors become more interested in the asset.

In the altcoin market, XRP, the third-largest digital coin by market cap, has seen the biggest gains, with its price soaring 17% in the past 24 hours to trade at $2.44.

It’s a reversal from Tuesday, when the coin fell below $2.00 after rising to $2.82 last week, a seven-year high for the Ripple-backed coin. The comeback comes amid Bitcoin’s rally and thanks to Ripple Labs CEO Brad Garlinghouse, who said Tuesday that the company’s RLUSD stablecoin would soon launch after receiving approval from New York regulators.

Meanwhile, Dogecoin, the seventh-largest coin by market cap and a favorite of Elon Musk, has climbed nearly 9% to trade at over $0.415. And its Ethereum-based rival Shiba Inu has gained nearly 13% on the day to trade at nearly $0.000029.

Solana has gained more than 9% on the day to trade at $229, while Cardano has jumped 13% to $1.09.

Investors have returned to exchange-traded products such as the new Bitcoin ETFs in the U.S., where traditional investors gained exposure to a record $3.85 billion in cryptocurrencies last week as Bitcoin surged above $100,000 for the first time.