Bitcoin Defies Odds with Resilient Price Action Amid Rising Rate Hike Bets
Bitcoin traded near $78,000 on Tuesday, holding onto most of its gains from August despite rising oil prices and growing expectations that the US Federal Reserve will raise interest rates this month.
The cryptocurrency gained around 25% in August, marking its best performance for the month since 2017. Joel Kruger, market strategist at LMAX Group, noted that this resilience is notable given the increasingly challenging environment across asset classes.
Rising bond yields and a stronger dollar are creating headwinds for risk assets, while renewed geopolitical tensions have pushed Brent crude above $90 a barrel.
Traders await jobs data, with economists expecting employment to rise by a modest 55,000 jobs in August. A weaker-than-expected reading could raise doubts about the Fed's willingness to raise interest rates amid a deteriorating labor market.