--- title: "Bitcoin steadies as soft PCE cools October Fed rate hike bets" type: "News" locale: "en" url: "https://longbridge.com/en/news/300598629.md" description: "Bitcoin steadies as softer-than-expected August PCE inflation data reduces expectations for an October Fed rate hike. This potential easing of monetary pressure may support risk assets like Bitcoin and Ether, though surging Treasury yields remain a headwind. While crypto prices consolidate, profit-taking signals are emerging in altcoins. Analysts suggest a gentler rate path could eventually drive capital from low-yield Treasuries into higher-returning digital assets." datetime: "2026-09-30T16:10:36.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/300598629.md) - [en](https://longbridge.com/en/news/300598629.md) - [zh-HK](https://longbridge.com/zh-HK/news/300598629.md) generator: "portal-rs" --- # Bitcoin steadies as soft PCE cools October Fed rate hike bets A softer-than-expected reading of the Federal Reserve's preferred inflation gauge is reducing expectations for another interest rate hike in October, potentially providing a tailwind for bitcoin and other risk assets. The latest PCE price index for August showed headline inflation rising 0.3% from July and 3.4% year-over-year, while core PCE rose 0.2% month-over-month and 3% annually. "A 0.2% monthly rise in core PCE prices is welcome news for the Fed," said Brendan Ma, head of investment strategy at the Arbitrum Foundation. "If September CPI points the same way, the pressure for an October hike eases." Martin Lee, market insights lead at DWF Labs, said the softer reading could reduce the risk of another Fed hike and could shift positioning toward the upside. Bitcoin volatility remains near its yearly lows, while options skew is broadly neutral, he said, suggesting investors were not heavily positioned for either direction ahead of the inflation data. A gentler rate path could support digital assets and equities, although elevated Treasury yields remain a headwind for risk assets. K33 analyst Vetle Lunde said bitcoin is being held back by surging yields, which are "pushing investors away from risk," while the cryptocurrency continues to consolidate after posting its highest weekly close since January. Bitcoin (BTC) traded around $83,700 at the time of publication, up less than 1% over the past 24 hours. Ether (ETH) was around $2,700, while XRP (XRP) fell about 2% to $1.50. Ether is on course for a nearly 70% third-quarter gain, while XRP is set to finish the quarter more than 40% higher. The broader crypto market has also shown signs of profit-taking. "Some profit-taking pressure is emerging, with seven-day altcoin inflow transactions to exchanges reaching their highest level since October 2025," said Iliya Kalchev, an analyst at Nexo Dispatch. Ma also said a gentler rate path could eventually ripple into the tokenized Treasury market. As short-dated Treasury bills mature, holders of those products would face lower yields if they rolled them over, which could push some of that capital toward higher-returning assets, including crypto. ### Related Stocks - [ARKB.US](https://longbridge.com/en/quote/ARKB.US.md) - [BITB.US](https://longbridge.com/en/quote/BITB.US.md) - [BITO.US](https://longbridge.com/en/quote/BITO.US.md) - [BITX.US](https://longbridge.com/en/quote/BITX.US.md) - [BRRR.US](https://longbridge.com/en/quote/BRRR.US.md) - [BTCL.US](https://longbridge.com/en/quote/BTCL.US.md) - [BTCO.US](https://longbridge.com/en/quote/BTCO.US.md) - [BTCW.US](https://longbridge.com/en/quote/BTCW.US.md) - [BTCZ.US](https://longbridge.com/en/quote/BTCZ.US.md) - [DEFI.US](https://longbridge.com/en/quote/DEFI.US.md) - [EETH.US](https://longbridge.com/en/quote/EETH.US.md) - [EZBC.US](https://longbridge.com/en/quote/EZBC.US.md) - [FBTC.US](https://longbridge.com/en/quote/FBTC.US.md) - [HODL.US](https://longbridge.com/en/quote/HODL.US.md) - [IBIT.US](https://longbridge.com/en/quote/IBIT.US.md) - [MAXI.US](https://longbridge.com/en/quote/MAXI.US.md) - [OBTC.US](https://longbridge.com/en/quote/OBTC.US.md) - [YBIT.US](https://longbridge.com/en/quote/YBIT.US.md) - [02818.HK](https://longbridge.com/en/quote/02818.HK.md) - [03008.HK](https://longbridge.com/en/quote/03008.HK.md) - [03042.HK](https://longbridge.com/en/quote/03042.HK.md) - [03066.HK](https://longbridge.com/en/quote/03066.HK.md) - [03135.HK](https://longbridge.com/en/quote/03135.HK.md) - [03430.HK](https://longbridge.com/en/quote/03430.HK.md) - [03439.HK](https://longbridge.com/en/quote/03439.HK.md) - [07376.HK](https://longbridge.com/en/quote/07376.HK.md) - [83042.HK](https://longbridge.com/en/quote/83042.HK.md) - [09008.HK](https://longbridge.com/en/quote/09008.HK.md) - [09042.HK](https://longbridge.com/en/quote/09042.HK.md) - [09430.HK](https://longbridge.com/en/quote/09430.HK.md) - [09439.HK](https://longbridge.com/en/quote/09439.HK.md) ## Related News & Research - [Bitcoin’s ‘Glory Days Are Over,’ Bloomberg Expert Says as Bulls Push Back](https://longbridge.com/en/news/304916608.md) - [BlackRock moves $213M in Bitcoin and $118M in Ethereum as ETF redemptions bite](https://longbridge.com/en/news/304955882.md) - [Bitcoin Holders Shift to BlackRock’s IBIT on Security Concerns, Bitrue Says](https://longbridge.com/en/news/304936948.md) - [Metaplanet buys back 12.25 million shares for $18.76 million to lift Bitcoin per share](https://longbridge.com/en/news/305460796.md) - [Riot Sells More Than 20,000 Bitcoin as AI Data-Centre Contracts Reach $38B](https://longbridge.com/en/news/304775800.md) --- > **Disclaimer: This article is for reference only and does not constitute any investment advice.**