Bitcoin price remained largely steady near the $111,000 level amid volatile trading, as digital asset markets showed little reaction to rising expectations of a Federal Reserve interest rate cut next week.
The world’s largest cryptocurrency posted a slight gain of 0.3%, reaching $111,164.6. Bitcoin had dropped by more than 6% during August, erasing the gains it made after hitting record highs above $124,000 in the middle of the month.
This muted performance came as expectations grew that the Federal Reserve will lower interest rates by at least 25 basis points at its September 17 meeting, with some analysts even suggesting a possible 50 basis point cut. The outlook was reinforced after the U.S. jobs report showed a sharp slowdown in employment growth and an uptick in unemployment to 4.3% in August, boosting the case for monetary easing.
Global markets responded positively to these expectations: equities gained momentum, U.S. Treasury yields fell to their lowest level in nearly five months, and gold held near elevated levels. However, political developments in both Japan and France added a degree of caution to investors’ risk appetite.
In theory, improved global liquidity supported by looser monetary policy should benefit higher-risk assets such as cryptocurrencies. Yet investors remain cautious, awaiting key U.S. inflation data including both consumer and producer price indices which are expected to heavily influence the Fed’s upcoming decision.
On the corporate front, Japanese hospitality firm Metaplanet (listed on the Tokyo Stock Exchange under ticker 3350) announced the purchase of 136 Bitcoin worth approximately $15.2 million, at an average price of around $111,783 per coin. This raises its total holdings to 20,136 Bitcoin, placing it among the largest corporate holders of the digital asset. Nevertheless, the company’s shares fell as some investors remain skeptical about this treasury management strategy.
As for altcoins, most recorded modest gains supported by broader positive sentiment in the market. Ethereum, the world’s second-largest cryptocurrency, rose 0.4% to $4,300.71, though it remains below its record highs near $4,500 reached last month.
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