Bitcoin Price Forecast: US CPI Data Could Send BTC to $105,996

Highlights:

• Bitcoin is consolidating between $94,048 and $85,302 ahead of US CPI data
• Indicators that inflation is easing could send Bitcoin to $105,996
• Hint that inflation remains an issue could send Bitcoin to the lows of $80k

Bitcoin (BTC) is slightly in the red today, after a correction in the last 24 hours. At press time, Bitcoin was trading at $91,242.22, down by a negligible 0.96%. However, the price drop has been followed by a surge in trading volumes. The volumes have shot up by 38.9% to stand at $35.27 billion. 

This surge in trading volumes at a time when the price is showing minor weakness could indicate an increase in Bitcoin short sellers. Multiple factors support the possible rise in Bitcoin short sellers, and the slight drop in price intraday. 

US Core CPI Data Could Trigger BTC Volatility

One of these factors is the upcoming US inflation data later in the day. The US is set to release core CPI data at 8:30 am Eastern time today, January 13. This data is expected to shape how the Federal Reserve will handle interest rates in the next FOMC meeting later in the month. In the event that the data shows that inflation is going down, risk-on assets such as Bitcoin could rally. That’s because it would significantly increase the possibility of a rate cut later in the month.

Next CPI data are scheduled to be released on Jan 13, 2026 (Today) at 7:00 PM IST/ 8:30 A.M. ET.

Expectations: 2.7%
Previous: 2.7%

Expect Volatility !!! pic.twitter.com/w8bOyfydPu

— Crypto Candy🔥💎 (@cryptocandy24x) January 13, 2026

On the other hand, if the data shows that inflation remains an issue of concern, it could trigger fears that rates could remain unchanged for the better part of the year. This would be a big blow to risk-on assets such as Bitcoin since interest rates remain relatively elevated despite the two cuts that happened in late 2025.

Due to the implications of the data that is coming out today, short-term buyers are sitting it out until the data comes out. Long traders are also likely hedging their positions with shorts to protect from the volatile price swings. Short sellers are also emboldened by the fact that even after the recent rate cuts in October and December, Bitcoin barely moved. This could mean that any hint of no further rate cuts in the near future could send the price below $90k.

Institutional Investors Continue to Load Up On Bitcoin

Despite such moves by short-term speculators, long-term investors are still going heavy on Bitcoin. This is evident in the fact that Strategy (MSTR) has announced an additional Bitcoin purchase worth $1.25 billion. This has seen MSTR stock start the week on a high note. The stock’s price action goes to show that the average investor in the stock sees the ongoing Bitcoin purchases as a good thing for the company.

Strategy has acquired 13,627 BTC for $1.25 billion at $91,519 per Bitcoin!

You still selling no? 🤣 pic.twitter.com/NYLHGmny69

— AndreWGMI (@AndreWGMI) January 12, 2026

Many other companies in the US and globally also continue to load up on Bitcoin as the regulatory environment gets better. All this buying is likely to help push the price higher due to the scarcity aspect of Bitcoin. 

A Weakening Dollar Makes Bitcoin An Attractive Investment

Bitcoin could also continue to gain favor with investors due to a weakening dollar. As the dollar weakens, investors are increasingly pushing capital into alternative assets. This explains the ongoing Bitcoin resilience despite geopolitical issues, such as Venezuela. If the US core CPI data points to weakening inflation, it could boost the surge in demand for Bitcoin and push the price higher in the short term.

The chart shows the US Dollar Index compared to Bitcoin (green line). If Dollar goes up, bitcoin will go down, gold will go down and possibly oil goes down as well. The wildcard will be the US government shutdown at the end of January… will it push dollar higher or lower?… pic.twitter.com/CoX5DGrk7z

— PulseTen (@PulseTen) January 13, 2026

Technical Analysis – BTC Stuck In A Multi-Month Consolidation

Bitcoin has been range-bound between the $94,048 resistance and $85,032 support. The price is currently pushing the $94,048 resistance. If there is a surge in the price and Bitcoin rallies through the $94,048 resistance, $105,996 could come into focus in the short term.

On the other hand, if there is a correction through the $85,032 support, a correction to prices as low as $80k could follow in the short term. How BTC plays out of this range could be determined by the core CPI data coming out today. If it points to more rate cuts, Bitcoin could rocket to $105,996.