Crypto Markets Hold Gains as Bitcoin Rebounds Above $82,000
Major cryptocurrencies and crypto-related equities advanced on Thursday, holding onto gains even as market participants weighed hot inflation data and higher interest rate expectations. Bitcoin (CRYPTO:BTCUSD) briefly fell below $80,000 before rallying back above $82,000, while Ethereum (CRYPTO:ETHUSD) rebounded from support at $2,320 to consolidate near $2,400. Shares of Strategy Inc (NASDAQ:MSTR) rose 5.62% and Bitmine Immersion Technologies Inc (NYSE:BMNR) climbed 4.99%.
The market resilience occurred alongside macroeconomic pressure from U.S. producer prices, which climbed 6.3% year over year in the largest increase since 2022, topping expectations of 5.5%. Following the report, chances of a December interest rate hike increased to 67.4% from 62.2%, while 10-year Treasury yields rose to 5.09%. Over $830 million in crypto positions were liquidated over 24 hours, including $664 million in long positions. Meanwhile, Bitcoin open interest fell 0.21% in 24 hours and remains down more than 14% from recent highs near $87,000. Despite these liquidations, market sentiment remained in "Greed" territory, with global crypto market capitalization rising 0.70% to $2.861 trillion.
Looking ahead, on-chain data shows wallets holding between 10 and 10,000 Bitcoin reached a record high, signaling sustained accumulation by major holders. Analyst Michaël van de Poppe highlighted that Bitcoin holding above key support near $81,000 keeps the technical structure favorable, though brief dips toward $74,800 remain a secondary possibility if short-term selling pressure increases.
Key points
- Bitcoin bounced back above $82,000 after a brief drop below $80,000, while Ethereum consolidated near $2,400.
- U.S. producer prices grew 6.3% year over year, pushing December rate hike expectations up to 67.4%.
- More than $830 million in crypto positions were wiped out in 24 hours, led by $664 million in long liquidations.
- Wallets holding 10 to 10,000 Bitcoin hit a new all-time high, indicating ongoing accumulation by major investors.
- Crypto-related stocks gained ground, with Strategy Inc rising 5.62% and Bitmine Immersion Technologies up 4.99%.
Written by our AI from expert market sources across the web. It can contain mistakes: check the facts before acting on them. Write-ups powered by the free AI API at FreeTheAI.org
How we writeDisclaimerQuestions and answers
Why did Bitcoin rebound despite high inflation data?
Bitcoin recovered above $82,000 after briefly falling below $80,000 as steady accumulation by large holders helped absorb selling pressure from hotter-than-expected inflation data and rising rate hike expectations.
How much crypto was liquidated in 24 hours?
Over $830 million in crypto positions were liquidated over 24 hours, with long positions accounting for $664 million of the total.
What happened to US rate hike expectations after the PPI report?
After U.S. producer prices rose 6.3% year over year, beating expectations of 5.5%, the probability of a December rate hike increased from 62.2% to 67.4%.