Bitcoin settles above the levels of 100 thousand dollars again

Bitcoin has climbed back above $100,000 after US inflation data on Tuesday boosted bets on another rate cut by the Federal Reserve.

The cryptocurrency surged nearly 5% on Wednesday in the US, its biggest gain in two weeks, before paring some gains to trade at $100,665 as of 8:52 a.m. on Thursday.

President-elect Donald Trump’s moves to reverse the Joe Biden administration’s crackdown on cryptocurrencies in favor of looser regulations helped propel bitcoin to an all-time high of $103,800 on Dec. 5. But the largest cryptocurrency later struggled to stay above the six-figure mark, with speculators taking some profits.

U.S. consumer inflation last month was in line with expectations, boosting the likelihood of a Federal Reserve rate cut next week. The prospect of monetary easing has calmed investor sentiment, sending the tech-heavy Nasdaq 100 index to a record high.