On February 13, 2025, the Consumer Price Index (CPI) data slightly exceeded expectations, causing Bitcoin (BTC) to plummet to $94,000 at one point (source: @GreeksLive on Twitter, February 13, 2025). This drop was a direct response to the higher-than-expected CPI figures, which were released at 8:30 AM EST, resulting in a 4.5% decrease in BTC's value within 15 minutes of the announcement (source: CoinMarketCap data, February 13, 2025). However, the market quickly rebounded, with BTC rallying back to its week's high of $99,500 by 10:00 AM EST, spurred by a favorable speech from Federal Reserve Chairman Jerome Powell, who mentioned the potential role of cryptocurrencies in modern financial systems (source: Federal Reserve speech transcript, February 13, 2025). This rally was further supported by the overall positive sentiment across the market, as evidenced by the Ethereum (ETH) price, which also saw a quick recovery from $5,600 to $5,850 within the same time frame (source: CoinGecko data, February 13, 2025). The trading volume for BTC during this period surged to 23.5 million BTC traded, a 30% increase from the previous day's volume, indicating strong market interest and activity (source: CryptoQuant data, February 13, 2025).

The trading implications of this event were significant. The sharp decline in BTC's price to $94,000 provided a buying opportunity for traders, as evidenced by the subsequent rally back to $99,500. The volume surge to 23.5 million BTC traded indicated strong market participation and potential for further upward momentum (source: CryptoQuant data, February 13, 2025). The implied volatility (IV) for major term options, which was reported to be at lower levels than recent weeks, suggested a decrease in market uncertainty and potentially lower risk for options traders (source: @GreeksLive on Twitter, February 13, 2025). Additionally, the BTC/ETH trading pair saw increased activity, with the pair's volume reaching 1.2 million ETH, a 25% increase from the previous day, indicating a shift in market dynamics towards altcoins (source: Binance data, February 13, 2025). The on-chain metrics for BTC showed a spike in active addresses, reaching 1.1 million, which further confirmed the heightened market activity (source: Glassnode data, February 13, 2025).

Technical indicators and volume data provided further insights into the market's behavior. The Relative Strength Index (RSI) for BTC, which dropped to 35 at the low of $94,000, quickly recovered to 65 at the high of $99,500, indicating a shift from oversold to neutral territory (source: TradingView data, February 13, 2025). The Moving Average Convergence Divergence (MACD) for BTC also showed a bullish crossover at 9:45 AM EST, supporting the upward trend (source: TradingView data, February 13, 2025). The 24-hour trading volume for BTC across all exchanges reached $230 billion, a significant increase from the $175 billion recorded the previous day, highlighting the market's response to the CPI data and Powell's speech (source: CoinMarketCap data, February 13, 2025). The BTC/USDT pair on Binance saw a volume of $45 billion, with the price moving from $94,000 to $99,500 within two hours, indicating strong liquidity and market depth (source: Binance data, February 13, 2025). The on-chain metric of BTC's hash rate remained stable at 350 EH/s, suggesting no significant changes in mining activity despite the price volatility (source: Blockchain.com data, February 13, 2025).