Bitcoin headed 'in bullish direction' as investors bet on Fed pause: Chart of the Day

Bitcoin (BTC-USD) is back — and may have an even stronger tailwind with the September jobs report.

The token hovered near $85,000 on Friday as bond yields briefly eased and seasonal trends turned supportive. Ether (ETH-USD) also rose as strategists pointed to signs of a bullish trend for cryptocurrencies. A look at Yahoo Finance's AlphaSpace chart below shows bitcoin erasing most of its year-to-date losses. This comes after a tough first half of 2026.

Despite rising Treasury yields over the past months, the token just notched its strongest quarter since 2024, rising 43% during the period.

"Seasonality is also becoming a tailwind," said Fundstrat's head of digital assets, Sean Farrell on Thursday.

Farrell noted October has historically been crypto's strongest month, with the highest median and average returns, and around an 80% win rate.

"The setup shifted in a bullish direction the past couple of days," Farrell added.

Federal Reserve rhetoric has become somewhat more measured in recent days, while a weak jobs report has reduced expectations for further rate hikes.

More than 75% of market participants now expect policymakers to hold rates steady at their October meeting, providing an added tailwind for risk assets.