Why Is Bitcoin Price Rallying Above $80,000 Today?

Bitcoin reclaimed $80,000 on Thursday, trading at $80,270.69, up 2.9% over the past 24 hours, as easing Federal Reserve rate hike expectations lifted risk assets across markets. Ethereum climbed back above $2,450, and roughly $86 million in short positions were liquidated within an hour of the move.

The rally was supported by stronger-than-expected US economic data. The ISM Services PMI came in at 55.4, well above the 54.3 forecast, signaling continued expansion in the American economy.

Technical analysts had flagged the setup ahead of the move. Bitcoin’s 4-hour Bollinger Bands had tightened sharply after the run from the low $60,000s to above $80,000, with resistance around $79,500 and support near $76,700. He described the market as “coiling” ahead of a potential breakout, which appears to have resolved to the upside.

Elsewhere, Alliance Global Partners initiated coverage on Strategy (MSTR) with a Buy rating and a $252 price target, implying 97% upside. Robinhood shares also jumped 13% after its blockchain, Robinhood Chain, generated $4 million in onchain revenue on September 2, the highest of any blockchain globally that day.

While that revenue doesn’t directly flow into Robinhood’s financials, markets appear to be treating it as a bullish signal, adding to positive ratings this week from Morgan Stanley, which set a $150 price target, and Scotiabank.