BTC ETFs See $753M Inflow as Short Liquidations Surge

The crypto market reacted positively to the January 13 US inflation report. The US Consumer Price Index (CPI) recorded a 2.7% year-over-year increase for December 2025, consistent with November's rate. Seasonally adjusted inflation rose by 0.3%.

The CPI may influence Federal Reserve decisions on interest rates.
President Donald Trump suggested interest rate cuts in response to inflation data.

The cryptocurrency market saw gains following the CPI release:

Bitcoin rose above $96,000, maintaining above $95,000.
Ethereum reached $3,340, a two-month high.

Bears Have Been Liquidated

Total crypto liquidations surged by 211% to $688 million, with $595 million in shorts.
Bitcoin led with $294.7 million in liquidations, primarily shorts.
126,235 traders were liquidated, with the largest at $12.9 million in the ETH/USDT pair on Binance.

Spot BTC ETFs in the US saw a net inflow of $753.8 million, with Fidelity leading at $351.4 million. Spot ETH ETFs had a $130 million net inflow, led by BlackRock's $53.3 million purchase.

Upcoming catalysts for the crypto market include the US Fed rate decision and Iran-US tensions.