Bitcoin Tumbles on Hawkish Fed Comments, Still Ends Strong August

Bitcoin's price dipped to $78,442 after Federal Reserve Chair Kevin Warsh signaled concerns about inflation and hinted at possible rate hikes. This hawkish tone from Warsh increased market expectations for higher interest rates.

The Fed's stance weighed on Bitcoin ETFs, which saw $202 million in outflows over nine days of inflows, despite a strong August performance.

Bitcoin still managed to post a 26.35% gain for the month, its best since 2017, thanks to positive regulatory news and increased institutional interest.