Bitcoin Faces Key Catalysts Ahead of Fed Meeting

Bitcoin traded near $79,500 on Monday after stronger August employment data increased September rate-hike expectations. The US Bureau of Labor Statistics reported a 162,000 increase in nonfarm payrolls and an unemployment rate of 4.1%. This pushed the estimated probability of a September rate hike to approximately 58%, according to futures-market data.

The Federal Reserve's upcoming policy meeting on Sept. 15-16 will be closely watched for any changes to interest rates. The inflation reports, including August PPI and CPI releases, are also expected to influence market expectations. On Wednesday, the US Treasury will auction reopened ten-year notes, which could provide insight into demand and longer-term yields.

The release of the Federal Reserve's policy statement on Sept. 16, along with Chair Kevin Warsh's press conference, is anticipated to move markets. The meeting will include updated economic projections and officials' expected rate paths. Bitcoin's immediate levels remain approximately $80,000 and $82,500 on the upside.