Bitcoin Climbs Back Over $80,000 Amid Shifting Fed Expectations

Bitcoin pushed past the $80,000 mark this week, reaching as high as $82,000 before settling around $80,700. This 4% daily gain follows comments from Fed Governor Christopher Waller, who suggested he could support keeping interest rates steady during the upcoming September meeting.

Market participants reacted quickly to the news, with the probability of a rate hike falling to about 50 percent according to recent data. While a decision to hold rates steady does not add new cash to the system, it does remove the pressure of tighter monetary policy that has kept a lid on crypto gains for several months.

The positive sentiment spilled over into the wider market as well. Zcash emerged as a major leader with a 16% jump, while major assets like Ether, XRP, and Solana also saw steady gains. US spot bitcoin ETFs also reported a strong Thursday with over $730 million in inflows.

Traders are now watching the Fed closely for final confirmation on rates. While the immediate momentum is positive, the weekly performance for most major coins remains relatively flat, suggesting that investors are still looking for a clear signal before making bigger moves.