Bitcoin Holds Above $78,000, Yen Breaks Below 160 Level, Strong Dollar Continues to Suppress the Crypto Market

BlockBeats News, August 31st. Bitcoin is currently holding around $78,000, with a 0.04% decline in the past 24 hours and still up approximately 1% over the past week. Due to the strength of the US dollar and changes in interest rate expectations, the overall crypto market is under pressure, with Solana and Dogecoin leading the decline by about 2%, followed closely by Hyperliquid and XRP; Ethereum, BNB, Zcash, and TRON remain relatively stable.

Meanwhile, the USD/JPY exchange rate has dropped below the 160 level and is trading near the Tokyo market. Market strategists believe that a further depreciation of the yen to around 161 may trigger intervention, while the 162 to 163 range could face stronger intervention pressure.

Following Fed Chair Powell's speech at Jackson Hole, market expectations for a hike in US interest rates have increased, causing bond investors to price in the possibility of a Fed rate hike, leading to a strengthening of the US dollar. This round of revaluation of interest rate expectations has already led to institutional funds withdrawing from Bitcoin ETFs.

August 31st marks the last trading day of the month, with the market focusing on the monthly fund flows of Bitcoin ETFs.