Bitcoin remained relatively resilient around the $77,000 level on Wednesday as rising US Treasury yields, stronger interest-rate expectations and renewed inflation concerns weighed on global financial markets.

The cryptocurrency traded in the upper-$70,000 range even as several major digital assets and equity markets faced selling pressure. Investors are closely tracking developments in the bond market, oil prices and expectations surrounding the Federal Reserve’s upcoming policy decision.

Bitcoin Shows Resilience During Global Risk-Off Move

Bitcoin traded around $76,951 during the session, slipping roughly 0.6%, while other market data placed the cryptocurrency close to $77,500 during Asian trading hours.

Although Bitcoin was not completely immune to the broader decline in risk assets, its losses remained relatively contained compared with several major cryptocurrencies. Ether, Solana, XRP and other large-cap digital tokens came under stronger selling pressure as investors reduced exposure to more volatile assets.

Bitcoin also entered September with positive momentum following a strong August, when the cryptocurrency gained roughly 24%. That rally has helped Bitcoin maintain a stronger technical position despite a more challenging macroeconomic environment at the beginning of the new month.

The ability to remain close to $77,000 is therefore being watched closely by traders looking for signs of whether recent demand can withstand continued pressure from rising interest rates and global market uncertainty.

Rising Bond Yields Add Pressure to Risk Assets

The latest challenge for cryptocurrency markets is coming from sharply higher government bond yields.

The benchmark 10-year US Treasury yield climbed to around 4.81%, reaching its highest level since November 2023. Japan’s 10-year government bond yield also remained above 3%, around levels not seen in decades.

Higher government bond yields can make riskier investments less attractive because investors are able to earn stronger returns from comparatively lower-risk government securities. Rising yields may also tighten global financial conditions and place upward pressure on the US dollar.

Those conditions can be difficult for assets such as Bitcoin, technology stocks and other investments that often perform better when liquidity is abundant and borrowing costs are lower.

Inflation concerns are also contributing to the bond-market selloff. Brent crude oil moved close to $95 per barrel amid concerns about potential energy-supply disruptions linked to heightened Middle East tensions.

Persistently high energy prices could add to inflationary pressure, potentially making central banks more cautious about lowering interest rates.

Federal Reserve Rate Outlook Remains Key for Bitcoin

Attention is now turning toward the Federal Reserve’s September 16 policy meeting.

Futures markets were pricing approximately a 68% probability of a 25-basis-point interest-rate increase, up sharply from around 37% a week earlier.

Expectations of higher interest rates can affect Bitcoin because tighter monetary policy generally reduces liquidity across financial markets. It also increases the opportunity cost of holding assets such as cryptocurrencies that do not provide fixed interest payments.

The US two-year Treasury yield, which is particularly sensitive to expectations for Federal Reserve policy, also climbed to around 4.41%, its highest level since January 2025.

Despite the changing interest-rate outlook, Bitcoin has so far managed to remain relatively stable compared with several higher-risk cryptocurrencies.

That resilience suggests buyers continue to provide support, although the market could remain sensitive to economic data and changes in Federal Reserve expectations.

Bitcoin Traders Focus on $80,000 and US Jobs Report

The next important catalyst for Bitcoin could be the August US nonfarm payrolls report.

Investors are watching the employment data for clues about the strength of the US economy and whether economic conditions could justify another Federal Reserve rate increase.

A stronger-than-expected jobs report could reinforce expectations for tighter monetary policy, potentially pushing Treasury yields higher and creating additional pressure on cryptocurrencies.

On the upside, the $80,000 level remains an important psychological area for Bitcoin. A sustained move above that level could strengthen bullish sentiment and potentially attract renewed buying interest.

However, continued increases in bond yields, persistent inflation concerns or stronger expectations for additional rate hikes could keep Bitcoin volatile and potentially lead to another test of support around or below $77,000.

For now, Bitcoin’s ability to remain relatively steady despite rising borrowing costs, elevated oil prices and weaker global risk sentiment is attracting attention. The upcoming US employment report and the Federal Reserve’s September policy decision are likely to play an important role in determining Bitcoin’s next major move. 

Note: This article is for informational and news purposes only and should not be considered financial or investment advice.