Bitcoin Jumps 5% as Waller's Rate Hike Comments Ease Market Fears

Bitcoin experienced a 5% surge after Federal Reserve Governor Waller suggested rates might stay unchanged in September, easing market fears. This move came after Fed Chair Warsh hinted at more rate hikes, causing Bitcoin to drop to $77k.

The shift in expectations from the Fed, traditionally a key driver of crypto price swings, led to a significant increase in demand for spot BTC ETFs, with an inflow of $730.8 million.

Historically, rate hikes have been bearish for crypto, but this time around the market seems to be taking a more cautious approach, lowering the odds of a rate hike from 57% to about 50%.