Bitcoin trades near $86,000 as weaker US jobs data dims October Fed rate hike bets

Over the past 24 hours, Bitcoin and Ethereum gained 0.84% and 0.54%, respectively. Among major altcoins, XRP, Tron, Hyperliquid, Dogecoin and Cardano gained up to 10.71%, while BNB and Solana fell up to 1%.

CoinSwitch Markets Desk said the backdrop is supportive, although the 10-year Treasury yield near 5.26% and oil above $100 continue to temper risk appetite. For BTC, holding above $86K is key, while a sustained break above 87K - 88K could set up the next leg higher

The global crypto market capitalisation rose 0.64% to $2.93 trillion on Monday, according to the data on CoinMarketCap.

Minal Thukral, Executive VP-Growth & Crypto Business Head at CoinDCX said Bitcoin broke out of the consolidation, closed the weekly trade around $86,800, and is currently trading around $86,300, and the crypto fear and greed index today is at 65, as market sentiment is greedy.

Over the past week, Bitcoin and Ethereum gained 3.95% and 2.71%, respectively. Among major altcoins, BNB, XRP, Solana, Tron, Hyperliquid, Dogecoin and Cardano gained up to 11.99%.

Prateek Gupta, Head of Business at Mudrex, said Bitcoin is holding above $86,000 after touching $87,250 on Friday, as weak US jobs data cut expectations of an October Fed rate hike from around 64% to below 20% and pushed Treasury yields lower.

However, ETF demand cooled sharply, with spot Bitcoin funds attracting just $223 million last week, compared with $2.39 billion in the previous week.

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Market perspective

Riya Sehgal, Research Analyst, Delta Exchange: Bitcoin’s recovery toward $87,000 is being supported by improving institutional demand and stronger market positioning. U.S. spot Bitcoin ETFs attracted around $2.65 billion in September, while on-chain data suggests holders remain comfortably in profit without aggressive profit-taking.

Avinash Shekhar, Co-Founder & CEO, Pi42: Bitcoin has started October with a more constructive macro backdrop after softer U.S. jobs data sharply reduced expectations of an October Fed rate hike. Bitcoin’s current setup is being shaped by a clear macro headwind, as U.S. Treasury yields remain elevated, keeping pressure on crypto even as Bitcoin holds around $84,000.

Vikram Subburaj, CEO, Giottus: Bitcoin is trading near $86,000 as renewed institutional demand and lower expectations of an October Fed rate hike support the broader crypto market. US spot Bitcoin ETFs have continued to attract inflows after the strong reversal seen in September. Softer US jobs data has also reduced expectations of near-term monetary tightening.

Nischal Shetty, Founder, WazirX: Bitcoin’s overall market dominance stood near 59.15%, confirming that it continues to lead the market. Within the CMC20 index, Bitcoin carried a 69.24% weight and Ethereum 13.25%. XRP and Solana followed at 3.82% and 2.84%, respectively.