Bitcoin is nearing the $110,000 mark following the release of US Consumer Price Index (CPI) data showing a year-over-year inflation increase to 2.4% in May, up from 2.3% in April. This marks the first inflation rise since January 2025, prompting market reactions as investors anticipate potential impacts on Federal Reserve policy. The Federal Reserve is expected to maintain interest rates at 4.25-4.50% with a 99.9% probability, as the market awaits its policy decision next week. The CPI data, influenced by factors such as tariffs, is crucial for the Fed's economic forecasts, alongside labor market conditions. Analysts suggest that the inflation uptick may have contributed to Bitcoin's price surge.