Will a Lower CPI Spark a $10K BTC Rally?

Markus Thielen believes there is “real possibility” of a lower CPI print on Feb. 12 that could trigger a Bitcoin rally.

Author

Danielle du Toit
February 12, 2025

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Here's what we've got for you today:

  • Easing Inflation Could Ignite Another BTC Rally: 10x Research

  • SEC Delays Crypto Regulatory Agenda Until Senate Confirms New Chair

  • Tether Chooses Arbitrum to Power Its USDT0 Crosschain Stablecoin

  • zkLend Loses $4.9M in Starknet Exploit, Offers Bounty to Hacker

10x Research’s Markus Thielen believes there is “real possibility” of a lower CPI print in the US on Feb. 12, which could trigger a Bitcoin rally.

  • People expect a 2.9% YoY inflation rate in the upcoming US Bureau of Statistics report, but the Truflation Inflation Index suggests inflation may be easing faster, dropping from 3.0% to 2.1%.

  • If CPI comes in lower than expected at 2.7% or 2.8%, Bitcoin could see a relief rally similar to January’s surge when an unexpected inflation print triggered a $10,000 price increase.

  • A comparable rally now could push Bitcoin to $105,491, which is just 3.5% below its all-time high of $109,000.

Hester Peirce shared that the US SEC is delaying its crypto regulatory agenda until a new chair is confirmed.

  • Since Gary Gensler’s departure on Jan. 20, Mark Uyeda has been acting chair, but the Senate is set to vote soon on Trump’s nominee Paul Atkins.

  • Peirce shared that while Uyeda is managing the current agenda, a confirmed chair will need time to establish their own regulatory priorities for cryptocurrency.

  • Peirce and Uyeda are both Republican commissioners, and currently serve alongside Democratic Commissioner Caroline Crenshaw.

Tether chose Arbitrum to serve as the infrastructure provider for its newly launched crosschain stablecoin, USDT0.

  • Arbitrum One will serve as the central hub connecting USDT0 to multiple blockchain ecosystems, including Ethereum, Tron, TON, and Celo, by using Legacy Mesh technology to streamline stablecoin transfers.

  • Offchain Labs CEO Steven Goldfeder believes that this integration will create deep, liquid markets across different blockchains that will improve efficiency and reduce fragmentation.

  • Tether’s USDT is still the dominant stablecoin with a $141 billion market cap, which is still much higher than Circle’s USDC, which holds $59 billion in market share.

Decentralized money lending protocol zkLend was exploited on the Starknet network for $4.9 million on Feb. 12.

  • zkLend suffered a $4.9 million exploit on Starknet. The stolen funds were bridged to Ethereum and laundered via Railgun, but Railgun’s policies led to the funds being returned to the original address.

  • zkLend offered a 10% bounty and legal immunity if the attacker returned the remaining funds.

  • Despite a 44% YoY decline in crypto hacks, January 2025 still saw more than $73 million stolen across the industry.

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