BTC/USD: Bitcoin Slips Below $83,000 as ETF Demand Weakens

Cryptocurrency’s pullback deepened as US spot Bitcoin ETFs recorded nearly $485 million in outflows. High Treasury yields and a strong dollar kept the recovery under pressure.

📉 Bitcoin gives back more of its recent advance

• Bitcoin BTCUSD slipped below $83,000 in early Thursday trading, extending the retreat from this week’s high near $87,000.
• Prices approached $82,750, leaving buyers defending the lower end of the recent range as the cryptocurrency struggled to recover Wednesday’s losses.
• Yesterday’s decline was 2.6%, taking Bitcoin from around $85,550 to $83,300. The latest price puts it roughly 4.6% below Monday’s high. Thursday’s comparatively modest move follows a much sharper adjustment earlier in the week.
• The weakness spread across digital assets. Ether lost 5% Wednesday, while XRP fell about 5.5%. Crypto-related stocks also retreated. The broader selling suggests traders were reducing exposure across the sector as financial conditions tightened.

💵 Yields and the dollar challenge the rebound

• The US 10-year Treasury yield hovered near 5.3%, while the dollar index held around 102.23, close to an 18-month high. Higher returns on interest-bearing assets raise the hurdle for speculative investments.
• The Fed minutes kept further tightening in view, even though traders assigned only about 19% odds to an October hike. December hike expectations remained near 80%. A pause this month would therefore offer limited reassurance if markets continue expecting higher rates before year-end.
• Brent crude climbed above $101 a barrel as attacks on Gulf shipping renewed supply concerns. Expensive energy can prolong inflation pressure and complicate monetary policy.