Welcome back to The Breakdown with me, NLW.

It's a daily podcast on macro, Bitcoin, and the big picture power shifts remaking our world.

What's going on, guys? It is Thursday, January 16th, and today we are talking about why we are so

back. Before we get into that, however, if you are enjoying the breakdown, please go subscribe to it.

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come join us on the breakers discord. You can find a week in the show notes or go to bit.ly slash

breakdown pod. Well, friends, after a week of the show notes or go to bit.ly slash breakdown pod.

Well, friends, after a week of macrojitters, Bitcoin is back to 100K. Bitcoin continued its

price recovery on Wednesday, surging back to the psychologically important $100,000 price level.

It couldn't go any higher with the rally stalling out multiple times below 101, but still

strong support above

99,000 gave Bitcoin a tight range for the day. Proximate cause of the rally was the release of

the December CPI inflation data in the morning. Bitcoin surged by almost 3% in the hour following

the release before markets opened in New York. All week, the concern had been that an uptick

in labor market statistics from last

week would be followed by a hot inflation print. That could have changed the game plan for the Fed

entirely, requiring not only a long pause, but perhaps even putting rate hikes back on the table.

It turns out, though, that the inflation print was nothing to be alarmed about.

Headline inflation ticked up slightly to 2.9% coming in mildly

above forecasts, but the big news was in core inflation, which strips out food and energy. That

reading slowed to 3.2%, its first reduction in almost six months. This is, in fact, not only,

not a sign of returning inflation, but the first sign of further progress on sticky inflation

...