Bitcoin pushed above $84,000 around Thursday's Wall Street open, attempting to cement higher lows around the first October US trading session. The move coincided with a retreat in US bond yields after they reached new multi-decade highs.
Data showed BTC/USD preserving a pattern of higher lows on hourly time frames, trading up 0.6% on the day. Both the US 30-year and 10-year yields set fresh macro highs, with the 10-year yield reaching 5.342%—its highest level since April 2002—before dropping to 5.251%.
Mahmood Pradhan, former deputy director of the European department at the International Monetary Fund, noted that global markets were nervous about mounting public debt and rising yields that increase government interest costs. He pointed out that the conflict in the Middle East has impacted markets, with higher oil prices appearing in inflation data. Meanwhile, the August US Personal Consumption Expenditures (PCE) index came in at 3.4% year-on-year, though analysts attributed much of the decline to calculation changes rather than shifting market reactions.
Crypto analyst Benjamin Cowen remarked that yields rose rapidly amid market concerns regarding the Federal Reserve's approach to inflation, stating that the bond market has revolted.
On exchange order books, Bitcoin traded between thickening liquidity zones. CoinGlass data highlighted $84,500 and $82,900 as key areas of interest acting as price magnets, while total liquidations over a 24-hour period reached $25 million.
Assessing the current setup, trader and analyst Rekt Capital suggested that Bitcoin faces a potential retest of support around $82,500. He noted that while history implies the retest could get messy, a successful defense of that level could establish the next trend continuation.
