Bitcoin traded around $83,700 early Wednesday in U.S. hours, down 0.3% and slipping below the $84,000 mark as markets waited for the latest U.S. personal consumption expenditures price index. The PCE reading, the Federal Reserve’s preferred inflation measure, is expected to show that inflation accelerated in August. A hotter-than-expected number could reinforce bets on further rate hikes, after those expectations already helped trigger a sharp bond selloff this month. Brent crude climbed above $103 a barrel and is up about 14% in September even as Middle East crude flows return to pre-war levels. Treasury markets steadied after 30-year yields hit their highest level since 2002, while the U.S. dollar held near its strongest level since July. In crypto, ether fell 0.7% to about $2,690, HYPE dropped nearly 2%, and XRP and TRX each rose less than 1%, according to CoinDesk data. CryptoQuant said bitcoin spot demand shrank by about 170,000 BTC over the past 30 days, while futures demand growth has fallen 90% since Sept. 14. Micron Technology is due to report after the U.S. close.
Bitcoin fell 0.3% to about $83,700 early Wednesday in U.S. trading, moving below $84,000 as traders waited for the personal consumption expenditures price index. The PCE report, the Federal Reserve’s preferred inflation gauge, is expected to show that inflation picked up in August.
Markets wait for inflation data
A stronger-than-expected inflation reading would add to bets on rate hikes. Those expectations have already fueled a bruising bond selloff this month.
Brent crude moved above $103 a barrel and is up about 14% in September, even though Middle East crude flows are returning to pre-war levels. U.S. Treasuries steadied a day after 30-year yields reached their highest level since 2002. The dollar stayed near its strongest level since July.
Major crypto assets show mixed moves
Ether was down 0.7% at about $2,690. According to CoinDesk data, HYPE fell nearly 2%, the weakest performance among major tokens, while XRP and TRX each gained less than 1%.
Spot and futures demand weaken
On-chain analytics firm CryptoQuant estimated that bitcoin spot demand has shrunk by about 170,000 BTC over the past 30 days. Growth in futures demand has dropped 90% since Sept. 14.
Micron earnings due after the bell
Micron Technology is scheduled to report after the U.S. market close. Its earnings are being watched as a test for AI-linked stocks, which helped keep losses in the S&P 500 in check during the bond selloff.
This article was originally published by Bit.Fan. For more cryptocurrency news and market insights, visit www.bit.fan. Disclaimer:
The market information, project data, and third-party content displayed on this platform are for industry information sharing only and do not constitute any form of investment advice or return commitment.
Cryptocurrency trading carries high risks. Users should fully assess their risk tolerance and make independent decisions. All profits, losses, and legal responsibilities are borne by the users themselves.
