Bitcoin Holds Near $111.6K Amid Rate-Cut Speculation; Altcoins Mixed
Bitcoin (BTC) steadied near $111,600 on Friday morning, showing resilience despite broader macro jitters affecting global risk assets. Ether (ETH) slipped 0.7% to $4,330, while Solana (SOL) gained 1.3% to trade above $204. XRP (XRP) hovered around $2.81, flat for the day but up 3.5% over the week.
Market attention has focused on U.S. labor data and evolving expectations around Federal Reserve policy. Friday’s jobs report is widely anticipated to show rising unemployment, reinforcing bets on a September rate cut. However, traders are no longer expecting a prolonged easing cycle.
“While higher unemployment points to a likely mid-September rate cut, reductions through the rest of the year are expected to be limited,” said Jeff Mei, COO at BTSE. “The Fed is cautious about flooding the economy with liquidity due to inflation risks. This dynamic has helped gold rally, even as equities and crypto experienced pressure.”
Gold recently touched fresh highs above $3,500 per ounce, reflecting continued demand for hard stores of value—a trend increasingly compared to bitcoin.
“Bitcoin has evolved beyond being merely speculative; it is now widely recognized as a store of value and a hedge against currency debasement, fiscal instability, and geopolitical risk,” said Vikrant Sharma, CEO of Cake Wallet. “Volatility has declined but remains, which is expected for an asset just over a decade old. The narrative has shifted: BTC is now a strategic allocation rather than a purely speculative play.”
Sharma added that periods of low volatility often precede significant price moves. “A $100,000-plus floor makes Bitcoin feel less like a high-beta trade and more like a global reserve asset in the making,” he said.
Bitcoin’s dominance remains firm at roughly 60% of total crypto market capitalization, helping stabilize sentiment even as altcoins fluctuate sharply.
“Despite recent swings, Bitcoin has demonstrated remarkable resilience, declining only 3% while maintaining its market dominance,” said Nassar Achkar, Chief Strategy Officer at CoinW. “Potential Fed rate cuts later this year, combined with continued institutional adoption through ETFs and other digital assets, provide strong fundamental support. Traders should still remain cautious, as shifts in policy may drive short-term volatility.”
The outlook comes as the market enters September, historically one of the weaker months for crypto.
