Bitcoin Falls Below $84,000 as Hot US Data Sends Yields Higher
Bitcoin (BTC) fell below $84,000 on Wednesday after a surprise jump in US business activity sent Treasury yields higher.
The drop came within about an hour of the data release. It reversed a morning rally that had carried Bitcoin above $87,000 on Binance.
What the US Business Survey Showed
The S&P Global flash Purchasing Managers’ Index (PMI) is an early monthly survey of about 1,150 US companies. A reading above 50 means business activity is growing.
September’s composite reading rose to 58.4 from 56.0 in August. That is the fastest growth since July 2021. The manufacturing gauge jumped to 57.0 from 53.9, its strongest since May 2022.
However, the report also flagged rising costs. Input prices climbed at the fastest rate since October 2022 as oil pushed fuel and transport bills higher. Meanwhile, hiring hit its quickest pace since June 2022.
Chris Williamson, chief business economist at S&P Global Market Intelligence, warned about what comes next.
“Firms’ input costs have meanwhile jumped in September at the steepest rate for four years, with fuel and transport costs spiking higher thanks to the rise in oil prices seen during the month, which will add further to the upward pressure on selling prices and inflation in the coming months,” said Chris Williamson.
Why Higher Yields Pushed Bitcoin Below $84,000
Treasury yields show the return investors demand to lend to the US government. They tend to rise when markets expect higher interest rates.
The 10-year yield climbed to 5.058% after the release, TradingView data shows. It had closed at 4.96% on Tuesday, according to the Treasury.
BREAKING: US 10-year bond yield is back above 5%, a new 19-year high.The sudden jump comes right after September's flash PMI data blew past forecasts, with composite PMI hitting a 5-year high, which pushed the odds of another Fed rate hike even higher.The 2-year yield is also… pic.twitter.com/Gqwe8HypcT
— Bull Theory (@BullTheoryio) September 23, 2026
The Federal Reserve (Fed) raised its benchmark rate to a range of 3.75% to 4% on September 16. Its statement said the hike would speed a return to 2% inflation.
Higher yields make assets that pay no interest, such as Bitcoin, less attractive. BeInCrypto flagged that exact risk on September 15, when the 10-year first touched 5%.
The slide came hours after BeInCrypto reported Bitcoin up 13% since the Fed hike. A day earlier, Tom Lee and iTrustCapital’s chief executive said the worst is over.
Final September PMI readings arrive on October 1 for manufacturing and October 5 for services.
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