Bitcoin Breaks Above $82K as Fed Sentiment Shifts and ETF Demand Surges
Bitcoin prices surged on Friday, reaching $81,069 as the cryptocurrency continued its upward trajectory for the third straight week. The price gain of 4.3% momentarily pushed Bitcoin above the $82,000 mark, a level not seen since late April.
The catalyst behind this price action is Federal Reserve Governor Christopher Waller's statement that he prefers to maintain current interest rates. This shift in sentiment has reduced pressure on digital assets and led to a decline in US Treasury yields. According to CME Fedwatch, the likelihood of a September rate increase decreased to 50.4%, down from above 60% earlier in the week.
Market analyst Ash Crypto noted that Bitcoin has broken through its weekly 50-day moving average at $80,400, characterizing this as a 'massive breakout.' The next significant resistance barrier is set at $83,000, and if Bitcoin closes the weekly candle above the 50 MA and holds that level, it would validate the start of a fresh bull market cycle.
In related news, spot Bitcoin ETFs in the US attracted $730.9 million on Thursday, marking the strongest single-day performance since January. BlackRock's iShares Bitcoin Trust dominated with $454 million in inflows, representing approximately 62% of total flows.