Quick Overview
- Bitcoin gained 4.3% to reach $81,069, momentarily surpassing $82,000 for the first time in almost four months
- Federal Reserve Governor Waller indicated preference for maintaining current interest rates, reducing market pressure
- Spot Bitcoin ETFs in the United States recorded $730.9 million in inflows on Thursday, marking the strongest day since January
- BlackRock’s IBIT dominated with $454 million in inflows, representing approximately 62% of total capital flows
- Market analysts from CryptoQuant highlighted concerns about new demand strength, setting $83,000 as the critical resistance point
Bitcoin extended its recovery on Friday, advancing 4.3% to settle at $81,069 as the digital asset marked its third straight week of positive momentum. The leading cryptocurrency by market capitalization temporarily pushed above $82,000 during Thursday’s trading session, reaching heights unseen since late April.
The upward price action gained traction primarily from diminishing anxiety surrounding potential US interest rate increases. Federal Reserve Board Governor Christopher Waller informed Reuters that he’s inclined to maintain current interest rate levels at the central bank’s next policy meeting, especially if upcoming inflation metrics demonstrate moderation.
Waller’s statements catalyzed a notable decline in US Treasury yields. This development carries significant weight for Bitcoin, as the cryptocurrency remains highly responsive to yield fluctuations due to its position as a risk-on asset. In the wake of Waller’s dovish commentary, CME Fedwatch data showed the likelihood of a September rate increase dropping to 50.4%, down from above 60% just days earlier.
Market analyst Ash Crypto shared on X that Bitcoin has successfully breached the Weekly 50-day moving average positioned at $80,400, characterizing it as a “massive breakout.” The analyst pinpointed $83,000 as the subsequent crucial resistance zone, noting that a weekly closing price above the 50 MA would validate the commencement of a fresh bull cycle.
Bitcoin ETF Demand Reaches Eight-Month Peak
Spot Bitcoin exchange-traded funds in the United States captured $730.9 million in net inflows during Thursday’s session, representing the most substantial single-day haul since January 14, when these investment vehicles accumulated $843.6 million. This marked a dramatic acceleration from the preceding day’s modest $101.2 million in inflows.
BlackRock’s iShares Bitcoin Trust (IBIT) spearheaded the influx with $454 million, capturing roughly 62% of aggregate inflows. ARK 21Shares Bitcoin ETF (ARKB) contributed $137.7 million to the total, while Fidelity’s FBTC secured $74.4 million in new capital. VanEck’s HODL and WisdomTree’s BTCW stood out as the sole funds experiencing redemptions, posting outflows of $19.6 million and $5.2 million respectively.
Legislative Developments Boost Market Confidence
SEC Chairman Paul Atkins contributed to the optimistic atmosphere, announcing his expectation that the Senate will conduct a vote on the Clarity Act on September 15. He urged Congress to approve the legislation and deliver it to President Trump before month’s end. Atkins additionally disclosed that the SEC is developing complementary crypto regulation to function in tandem with the proposed act.
Strategy, which maintains the largest corporate Bitcoin treasury, surged nearly 18% on Thursday as cryptocurrency-related equities experienced broad-based appreciation.
Analysis from CryptoQuant revealed that Bitcoin holders crystallized 23,000 BTC in net gains on August 21, marking the year’s largest single-day profit realization event, suggesting strategic selling during the price rally. The analytics firm identified Bitcoin’s 365-day moving average at approximately $82,300, traditionally serving as the demarcation point separating bullish and bearish market phases.
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