Bitcoin (BTC) surged past the $113,000 level on Wednesday, following the release of the August Producer Price Index (PPI) 0 data reinforced market expectations of a rate cut, boosting risk assets like 1 flagship cryptocurrency is marginally up during the ongoing session, trading around $114,050. Analysts expect some volatility in the short term. However, the long-term outlook remains 2 Bitcoin ETFs Register Strong Inflows Spot Bitcoin ETFs registered healthy inflows on September 10, thanks to a substantial jump in institutional 3 to data from Farside Investors, net inflows reached $741.5 million, indicating strong demand for Bitcoin 4 to Farside, the data could indicate a shift in market sentiment as traders eye inflows for clues on the asset’s price 5 led the inflows with $299 million, followed by BlackRock’s IBIT, which registered $211 million in inflows, and ARKB with $145 6 notable contributions were from BitB ($44 million), GBTC ($8.9 million), and EZBC ($3.3 7 Retreat As Stocks Slide Bitcoin treasury companies have suffered a significant decline in share prices as the initial euphoria 8 and crypto treasury companies use shares or debt to raise funds to purchase the crypto held on their balance 9 have been purchasing shares of treasury companies, driven by BTC’s ascent to record highs and President Trump’s crypto-friendly 10 to reports, at least 61 countries have adopted Bitcoin treasury 11 Saylor’s Strategy has seen its share price tumble from $457 to $328, the lowest since 12 decline also cuts their gains to 13%.
Meanwhile, Japanese Bitcoin treasury firm Metaplanet dropped to its lowest levels since May, with shares down 60% from their June 13 analyst Adam McCarthy stated, “The scale of the reversal is entirely 14 are all essentially volatility plays as they are leveraged exposure ... so if bitcoin is down 3%, they're down a multiple of that, sometimes four or five times as 15 retail users, it's a shock a lot of the time, so it probably compounds the downturn when some sell out of fear.” When shares of these treasury companies drop, their market value could become less than the value of their crypto 16 companies also rely on cash to purchase crypto.
Sometimes, funding can dry up when market sentiment 17 Akoner, global market analyst at eToro, stated, “Beyond their bitcoin exposure, most (companies) have only modest fundamentals, so their valuations don't have much of a cushion.” Bitcoin (BTC) Price Analysis Bitcoin (BTC) is struggling to get going during the ongoing session, as it comes up against the resistance around $115,000. The flagship cryptocurrency rallied on Wednesday, surging past the $113,000 mark and settling at $113,983. It started the day flat, trading around the $114,000 mark. However, sentiment picked up marginally as BTC crossed $114,000 and moved to its current level of $114,457.
Meanwhile, Consumer Price Index (CPI) data revealed that inflation rose 0.4% in August, compared to a 0.2% rise in 18 to the Bureau of Labor Statistics report, inflation has increased 2.9% over the past 12 months, pulling away from the 2% target set by the Federal Reserve. However, markets are optimistic about a rate cut after the FOMC meeting, although a smaller cut is 19 Price Index (PPI) data also came in cooler than 20 August PPI fell 2.6% year-over-year compared to forecasts of 3.3%. Meanwhile, Core PPI, which excludes food and energy, fell to 2.8%, well below the expected 3.5%. The PPI turned negative every month, marking the second contraction since March 2024.
“BREAKING: August PPI inflation FALLS to 2.6%, below expectations of 3.3%. Core PPI inflation fell to 2.8%, below expectations of 3.5%. Month-over-month PPI inflation was NEGATIVE for just the 2nd time since March 21 cuts are on their way.” July inflation figures were also revised from 3.4% to 3.1% and Core PPI from 3.7% to 3.4%. Additionally, a US Jobs Data revision removed 911,000 jobs from the past 12 22 registered a sharp drop on Friday (August 29), dropping nearly 4% to $108,378.
The price recovered on Saturday, rising 0.41%, but was back in the red on Sunday, falling 0.53% to settle at 108,247. Price action was positive on Monday as BTC rose almost 1% to cross $109,000 and settle at $109,240. Bullish sentiment intensified on Tuesday as the price rallied, increasing 1.84% to cross $111,000 and settling at $111,247. BTC posted a marginal increase on Wednesday, rising 0.46% to $111,756.
Despite the positive sentiment, the price lost momentum on Thursday, dropping to an intraday low of $109,321 before settling at $110,720.
Story Tags
Latest news and analysis from Bitzo
