Bitcoin Rallies Past $81k on Rate Hike Fears and Regulatory Hopes

Bitcoin rallied to $81,069.6 on Friday, gaining 4.3% as investors breathed a sigh of relief that US interest rate hikes may not be imminent.

The cryptocurrency's price surge was fueled by comments from Federal Reserve Governor Christopher Waller, who said he is leaning towards keeping rates steady when the Fed meets later this month.

Waller's remarks led to a sharp reduction in bets on a September interest rate hike, with CME Fedwatch indicating a 50.4% chance, down from over 60% earlier this week.

Bitcoin's speculative nature makes it highly sensitive to shifts in yields, and the prospect of steady rates bodes well for its price.