Bitcoin price steadies around $82K after Fed’s Warsh avoids rate-hike hints
Bitcoin held above $80,000 as South Korean tech stocks recovered from a sell-off and traders lowered their expectations for a Federal Reserve interest-rate hike.
Bitcoin remained above $80,000 as South Korean tech stocks recovered and traders anticipated a less likely Federal Reserve interest rate hike. BTC traded near $82,000 on Friday's Wall Street open, marking a stabilization in crypto markets alongside a rebound in South Korean stocks. Data from TradingView showed BTC/USD maintaining most of its gains after bouncing at $80,000 on Thursday.
The decline traced back to a week-long sell-off in South Korean tech stocks, but Friday's Asian trading session offered some relief. The KOSPI Composite Index closed 2% higher on the day, still down 8.3% for the week. US stocks largely avoided the Asian market sell-off but were mixed, with the tech-heavy Nasdaq Composite down 0.5% and the S&P 500 up 0.5%.
Federal Reserve Chair Kevin Warsh quelled speculation of rate hikes during a meeting with IMF Managing Director Kristalina Georgieva, stating, "I don’t prejudge meetings. I don’t believe in saying now what I might do at the meetings that we have in the balance of this year." This dovish signal caused traders to lower expectations for a 25-basis-point rate hike in October, from 27% to 15% according to CME Group's FedWatch Tool.
Economist Robin Brooks attributed the Fed's cautious approach to concerns about an AI sector blow-up, making markets more receptive to a dovish message. US bond yields rose as stocks steadied, suggesting the US Treasury might need to choose between controlling bond sell-offs and maintaining bullish stock levels.
Written by urgent.news from Cointelegraph's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
