Bitcoin traded largely flat near the $87,000 level on Wednesday, stabilizing after modest losses earlier in the week. Ongoing outflows from U.S.-listed spot Bitcoin exchange-traded funds and uncertainty surrounding the Federal Reserve’s interest rate outlook continued to keep investors cautious.
The world’s largest cryptocurrency was last little changed at $86,748.1 as of 01:51 ET (06:51 GMT).
Price action remained range-bound, with Bitcoin struggling to regain upside momentum. Weak risk appetite and the absence of fresh market catalysts have limited gains, even as broader financial markets showed signs of stabilization.
Bitcoin pressured by ETF outflows and Fed uncertainty
Downward pressure on Bitcoin has intensified due to sustained outflows from U.S. spot Bitcoin ETFs. Recent data showed continued net redemptions, extending a trend that has raised concerns about slowing institutional demand.
These ETF withdrawals have removed a key source of support that previously helped fuel Bitcoin’s rally earlier this year.
Cryptocurrency markets have also been influenced by recent U.S. economic data, prompting investors to reassess expectations for Federal Reserve policy. Labor market figures pointed to softer job growth alongside a gradual increase in the unemployment rate.
While the data suggest the U.S. labor market may be cooling, it has not provided the Fed with a clear signal to accelerate interest rate cuts. Policymakers continue to weigh easing employment conditions against inflation that remains above target.
This uncertainty has clouded expectations for the timing and pace of future rate reductions, weighing on risk-sensitive assets such as cryptocurrencies. Investor focus now turns to U.S. inflation data scheduled for release on Thursday.
Crypto prices today: altcoins show mixed performance
Most major altcoins remained subdued amid cautious trading conditions and thin liquidity.
Ethereum slipped 0.4% to $2,934.92, while XRP gained 1.4% to $1.92. Solana edged slightly lower, while Cardano and Polygon traded largely flat.
Among meme tokens, Dogecoin rose 0.7%, while the $TRUMP token declined 1%.
