Bitcoin was holding above $78,000 on Tuesday as several major cryptocurrencies moved lower, while HYPE gained ground and traders raised their expectations for a more hawkish Federal Reserve.
The largest cryptocurrency was trading near $78,400 during Asian morning hours, little changed from the previous day. It moved between approximately $77,200 and $79,200 over the 24-hour period, according to CoinDesk data.
Bitcoin ended August with a 24% monthly gain, its strongest performance since November 2024. Strategy also returned to the market last week, purchasing roughly $370 million worth of Bitcoin after staying on the sidelines for about two months.
Among large-cap cryptocurrencies, HYPE was the standout performer, rising around 4% to approximately $84. Ether fell about 1% to just over $2,440, while Solana declined roughly 1% to near $104. XRP remained below $1.40, and BNB traded around $693.
Tron and Dogecoin recorded the steepest losses, each falling roughly 2%. Tron traded near 33 cents, while Dogecoin hovered around 8 cents.
Asian Markets Face Pressure
Risk assets across Asia also weakened. Hong Kong’s Hang Seng Index dropped about 1% to roughly 25,300, with Tencent and Meituan both falling close to 3%.
Japan’s Nikkei slipped to around 66,185, while South Korea’s Kospi posted a small gain as semiconductor stocks recovered.
Oil prices moved higher following US military action near the Strait of Hormuz over the weekend. Brent crude gained nearly 1% to about $91 a barrel.
Oil Fuels Rate-Hike Expectations
Higher oil prices are adding to concerns about inflation and interest rates. The US 10-year Treasury yield edged up to 4.78%, while markets assigned about a 64% probability to a Federal Reserve rate hike at its Sept. 16 meeting.
That probability was around 36% before Fed Chair Kevin Warsh’s Jackson Hole speech.
Gold also pulled back to approximately $4,435 an ounce after climbing 10% in August.
Yusuf Fakhro, a partner at ARP Digital, said Bitcoin’s ability to remain around $78,000 following its strong August advance may be more significant than the size of the rally itself.
He noted that perpetual futures open interest has dropped to its lowest level since May, while US spot Bitcoin ETFs recently recorded their strongest weekly demand since October 2025. Together, those factors suggest the August rally was driven primarily by spot buying rather than excessive leverage.
ETF Momentum Starts to Fade
The strong ETF inflow trend has since weakened. Wintermute recorded roughly $924 million of inflows into Bitcoin ETFs across nine consecutive positive sessions before a $202 million outflow on Friday brought the streak to an end.
Bitcoin has also repeatedly failed to hold above $82,000, with that level rejecting the cryptocurrency on each attempt.
“Market’s on edge but lacks directional conviction in the short term,” said Jasper De Maere, an OTC trader at Wintermute.
The next major test arrives Friday with the US jobs report, the final significant labor-market reading before the September FOMC meeting.
With markets already pricing roughly two-thirds odds of a rate hike, a stronger-than-expected payrolls report could lift Treasury yields further and increase pressure on Bitcoin, potentially sending it back toward the $77,200 overnight low.
