Bitcoin Surges to $85,500 Before Retreating on High US Yields
Bitcoin's price surged to above $85,500 after US August PCE inflation data came in lower than expected, but then retreated as high US Treasury yields continued to suppress the rally.
LVRG Research chief analyst Dan Khus noted that weaker PCE data reduced the likelihood of a Fed rate hike in October, shifting market attention to December policy changes and boosting crypto risk appetite.
However, 10-year Treasury yields remained close to 5.3%, with 30-year yields reaching their highest level since 2002, limiting Bitcoin's upside potential.
Other cryptocurrencies saw mixed performance: HYPE rose around 3% to near $89, while DOGE gained nearly 2% to near $0.1; ETH, BNB, TRX, and ZEC rose less than 1%, XRP held steady at $1.5, and SOL fell slightly over 1%.