Bitcoin Reaches New High at $79,644 Amid Ongoing Rate Cut Expectations

Bitcoin reached an all-time high of $79,644 as investors eagerly await next week's US inflation data. A softer Consumer Price Index (CPI) reading could revive hopes for a rate cut, while a higher-than-expected result would support the idea of higher interest rates for longer and put additional pressure on cryptocurrency valuations.

In the past 24 hours, Bitcoin fell by 1.8%, while Ethereum dropped by 2.3% to trade at $2,452. Among major altcoins, BNB, XRP, Solana, Hyperliquid, Dogecoin, and Cardano declined by up to 5.4%, whereas Tron rose by 0.9%. The global cryptocurrency market capitalization decreased by 1.4% to $2.77 trillion, according to Coingecko.

Riya Sehgal, Research Analyst at Delta Exchange, noted that crypto markets are sensitive to US monetary policy and have been affected by the recent sharp reversal. The rally remains intact, but its next move will depend on macro data. Bitcoin needs to hold the $78,500-$79,000 zone after its rejection near $82,000.

Nischal Shetty, Founder of WazirX, stated that institutional crypto demand strengthened this week, with ETF products attracting approximately $510 million across four sessions as of September 4. Bitcoin's move above $81,000 and Ether's recovery above $2,500 indicate improving spot demand and macro liquidity.