Bitcoin price today: rangebound at $112k despite rising Fed cut bets

Investing.com-- Bitcoin was slightly up above $112,000 on Monday in choppy trading, as crypto markets showed little reaction to rising odds of a Federal Reserve rate cut next week.

The world’s biggest cryptocurrency was last up nearly 1% at $112,200 as of 09:31 ET (13:31 GMT).

Bitcoin declined more than 6% last month, erasing gains after reaching record highs above $124,000 in mid-August.

Rising Fed cut bets fail to spark fresh enthusiasm

The subdued moves come despite escalating market expectations that the Fed will deliver at least a 25-basis-point rate cut at its September 17 meeting, with some analysts suggesting as much as 50 basis points. 

The latest U.S. jobs report on Friday showed a sharp slowdown in employment growth and a rise in the unemployment rate to 4.3% in August, bolstering sentiment around rate cuts.

Global markets broadly responded to the growing rate-cut optimism. Equities gained momentum, Treasury yields eased to near five-month lows, and gold remained elevated. 

Nevertheless, political developments in places like Japan and France injected an element of caution into risk sentiment.

Macro liquidity conditions, encouraged by the prospect of easier monetary policy, ideally provide support to risk assets like cryptocurrencies. 

Still, investors remain vigilant, awaiting key inflation readings—particularly upcoming U.S. CPI and PPI reports—that could further influence the Fed’s decision.

On the corporate front, Japanese hotelier Metaplanet Inc (TYO:3350 on Monday disclosed a purchase of 136 Bitcoin, spending approximately $15.2 million at an average of $111,783 per coin, bringing its total holdings to 20,136 BTC. 

This makes it one of the most significant corporate holders of the digital asset, although its share price dropped amid broader investor skepticism of such treasury strategies.

Strategy expands Bitcoin stash with nearly 2,000 BTC purchase

Strategy, the Bitcoin treasury firm formerly known as MicroStrategy (NASDAQ:MSTR), disclosed in an SEC filing that it purchased an additional 1,955 BTC between Sept. 2 and Sept. 7 for roughly $217.4 million.

The acquisition was made at an average price of $111,196 per coin.

Following this latest buy, the company holds 638,460 BTC valued at about $71 billion. According to co-founder and executive chairman Michael Saylor, the holdings were accumulated at an average cost of $73,880 per coin, or around $47.2 billion in total including expenses.

That stake represents more than 3% of Bitcoin’s maximum supply of 21 million and leaves the company with an unrealized gain of approximately $24 billion.

Crypto price today: most altcoins rise, Dogecoin jumps

Most altcoins saw modest gains tracking the broader sentiment.

World no.2 crypto Ethereum edged up 1% to $4,342.04, but has fallen sharply from record high levels near $4,500 reached last month.

World no. 3 crypto XRP rose 5.2% to $2.98.

Solana gained 5.7%, and Cardano added 4%, while Polygon edged 0.3% lower.

Among meme tokens, Dogecoin jumped 8.5%, while $TRUMP inched 1.5% higher.

(Ayushman Ojha contributed to this report.)