Bitcoin Slips Below $77,000 Amid Rate Fears and Oil Price Surge

Bitcoin's recent rally has come to an end as it slipped below $77,000 due to concerns over US interest rates and rising oil prices. This pullback follows a strong August run, during which Bitcoin gained around 24% in value, its strongest monthly performance since November 2024.

The world's largest cryptocurrency was trading at around $77,964 after briefly pushing above $81,000 last week. Ether fell by 2.1%, XRP dropped 2.5%, and Solana declined by 3.4% to just below $100.

Macroeconomic conditions have returned to the forefront following a sharp rise in oil prices and US bond yields. Brent crude climbed towards $91 a barrel, while the US 10-year Treasury yield reached around 4.78%. Markets have increased bets that the Federal Reserve could raise rates at its September meeting.

A stronger-than-expected jobs report on Friday could further reinforce expectations of tighter monetary policy and test Bitcoin's recent support around $77,000. However, recent demand for Ether products has been substantially stronger than demand for Bitcoin funds, indicating that institutional crypto exposure is broadening beyond BTC.