Bitcoin Dips Below $79K as Fed Rate Hike Bets Weigh on Crypto Rally

Key facts

• Bitcoin slipped below $79,000 on Thursday after briefly climbing above $80,000 for the first time since May.
• Bitcoin fell nearly 1% to just under $79,000, cooling after a rally from below $68,000 last week.
• Bitcoin remains about 14% higher over the past seven days, down from 23% a day earlier.
• Traders increased bets that the Federal Reserve could raise interest rates, challenging the lower-yield environment.
• Federal Reserve Chair Kevin Warsh is scheduled to deliver his first Jackson Hole keynote on Friday.
• The Fed's September 15-16 policy meeting is roughly three weeks away.
• XRP fell almost 3% to just above $1.41, despite a 28% weekly gain.
• Solana gained almost 4% to above $101, while Ether added about 1% to just under $2,494.
• Joel Kruger of LMAX Group said daily technical indicators are overbought but not necessarily a major reversal signal.
• Kruger identified the May high near $82,820 as the next key resistance level.
• QCP Capital said falling open interest suggests the rally was driven by short covering rather than fresh leveraged buying.
• Spot Bitcoin ETF inflows represent more genuine demand, according to QCP Capital.
• Nvidia gained almost 5% in extended trading after signaling strong sales growth through 2028.
• MSCI's Asia Pacific index rose about 0.5%, led by SK Hynix and Samsung Electronics; South Korea's Kospi gained nearly 2%.