Here’s What Happened in Crypto Today – BTC, Inflation Data, SEC and More

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The cryptocurrency market remained on edge today as investors awaited crucial U.S. inflation data, while major developments unfolded across Bitcoin, stablecoins, staking services, and ETF approvals. From BTC price consolidation to Tether’s groundbreaking expansion and regulatory milestones, the crypto ecosystem saw a flurry of activity that could shape near-term market direction.

Bitcoin Holds Steady Ahead of Key Inflation Report

Bitcoin (BTC) has been trading in a tight range between $100,000 and $105,000 following the Federal Open Market Committee (FOMC) decision to hold interest rates steady. The Fed acknowledged that inflation remains “somewhat elevated,” reinforcing market caution ahead of the upcoming Personal Consumption Expenditures (PCE) price index report—the Federal Reserve’s preferred gauge of inflation.

At the time of writing, BTC was valued at approximately $104,000. Market participants are closely watching this data release, as it will significantly influence expectations for future rate cuts. A softer-than-expected PCE number could spark a bullish rally, potentially pushing Bitcoin toward $110,000. Conversely, hotter inflation figures may trigger a sell-off, with downside support levels monitored at $97,500 and $108,000.

👉 Discover how macroeconomic data impacts crypto markets and what to watch next.

According to liquidation heatmap analysis, these key price zones represent critical areas where large volumes of leveraged positions could be at risk. Traders are adjusting their strategies accordingly, favoring tighter risk management amid heightened volatility expectations.

This sensitivity to macroeconomic signals underscores Bitcoin’s evolving role—not just as a speculative asset but as an increasingly integrated component of global financial markets.

Tether Expands USDT to Bitcoin and Lightning Network

In a landmark move for the Bitcoin ecosystem, Tether has announced the launch of USDT (Tether USD) on both Bitcoin’s base layer and the Lightning Network. This integration is powered by Taproot Assets, a new protocol enhancing Bitcoin’s capability to support tokenized assets.

Previously limited to blockchains like Ethereum and Solana, USDT’s presence on Bitcoin marks a significant leap in utility for the world’s largest cryptocurrency by market cap. By leveraging Taproot’s advanced scripting and privacy features, Tether aims to unlock fast, low-cost transactions with enhanced security—ideal for remittances, micropayments, and decentralized finance (DeFi) applications.

Paolo Ardoino, CEO of Tether, emphasized the strategic importance of this development:

“By enabling USDt on the Lightning Network, we are not only reinforcing Bitcoin’s foundational principles of decentralization and security but also creating practical solutions for remittances, payments, and other financial applications that demand both speed and reliability.”

This advancement could accelerate adoption of Bitcoin as a payments rail, especially in regions where traditional banking infrastructure is underdeveloped. With Lightning Network’s ability to process thousands of transactions per second at minimal cost, the combination of USDT and Bitcoin opens new doors for scalable digital dollar usage.

👉 Explore how stablecoins are transforming blockchain payments and financial inclusion.

Kraken Relaunches Staking Services in the U.S.

U.S.-based crypto exchange Kraken has officially resumed staking services after a two-year pause caused by regulatory pressure from the Securities and Exchange Commission (SEC). On January 30, the platform launched a new on-chain staking model, allowing users to directly participate in network validation while retaining control over their assets.

This updated approach addresses previous SEC concerns by ensuring staking occurs transparently on-chain rather than through centralized pooling. Users can now stake supported cryptocurrencies—including Ethereum (ETH), Solana (SOL), Polkadot (DOT), and Cardano (ADA)—and earn rewards minus service fees.

The relaunch is available to customers in 39 U.S. states, with plans for broader rollout pending regulatory clarity. Mark Greenberg, Kraken’s Head of Consumer, hailed the development as a win for American crypto investors:

“Launching this new staking product in the U.S. is an overwhelmingly positive development, not just for Kraken but also for the entire U.S. crypto space.”

The move signals growing alignment between compliant innovation and regulatory expectations. It also empowers retail investors to earn passive income without sacrificing self-custody—a core tenet of blockchain philosophy.

Bitwise Gains SEC Approval for Combined BTC and ETH ETF

In another milestone for institutional crypto adoption, Bitwise received approval from the SEC for its 19b-4 filing, paving the way for a combined Bitcoin and Ethereum exchange-traded fund (ETF). While the final S-1 registration statement awaits clearance, this green light indicates that listing on major exchanges is imminent.

Bloomberg ETF analyst James Seyffart confirmed recent progress across multiple pending applications:

“There was movement with Hashdex yesterday and today. There were updates filed with relation to their S-1 and 19b-4. This indicates to me that these products are likely to list in the very near future.”

If approved for public trading, Bitwise’s dual-asset ETF would offer investors diversified exposure to the two largest cryptocurrencies under one ticker—a first in the U.S. market. Analysts believe such products could attract substantial inflows from traditional finance (TradFi) players seeking streamlined access to digital assets.

This development follows the successful launch of spot Bitcoin ETFs in early 2024 and suggests Ethereum is inching closer to full institutional recognition.

Frequently Asked Questions

Q: Why is U.S. inflation data important for Bitcoin?
A: Bitcoin has increasingly shown sensitivity to macroeconomic indicators like inflation and interest rates. Lower inflation often leads to expectations of rate cuts, boosting risk assets like BTC. Higher inflation can strengthen the U.S. dollar and lead to tighter monetary policy, pressuring crypto prices.

Q: What does USDT on Bitcoin mean for everyday users?
A: It enables faster, cheaper transactions using a stablecoin directly on Bitcoin’s network. Users can send USDT globally via the Lightning Network with near-instant settlement and negligible fees—ideal for cross-border payments or microtransactions.

Q: Is Kraken’s new staking service safe?
A: Yes. Unlike previous models, Kraken’s updated staking operates on-chain, meaning users maintain ownership of their assets. Rewards are earned transparently through blockchain validation processes.

Q: Can I invest in the Bitwise BTC/ETH ETF now?
A: Not yet. While the 19b-4 rule change has been approved, the ETF cannot trade publicly until the S-1 registration form is cleared by the SEC. Keep an eye on official announcements for launch timing.

Q: How does Taproot Assets work?
A: Taproot Assets is a protocol built on Bitcoin that allows issuance and transfer of digital assets—like stablecoins or tokens—without requiring a separate sidechain or layer-2 solution. It uses Bitcoin’s security model while enabling richer functionality.

Q: Will other stablecoins follow Tether onto Bitcoin?
A: Likely. The success of USDT on Taproot Assets could inspire other issuers like Circle (USDC) to explore similar integrations, further expanding Bitcoin’s utility beyond simple value transfer.

Core Keywords

With macroeconomic forces and technological innovation converging, today’s developments highlight crypto’s growing maturity. From regulatory clarity to infrastructure upgrades, these milestones lay the foundation for broader adoption in 2025 and beyond.

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