Key facts
- Bitcoin fell 1.22% to $77,323, unable to extend last week's rally above $80,000.
- The S&P 500 dropped 0.59% and the Nasdaq fell nearly 1% amid inflation fears.
- Bitcoin's 50-day EMA is nearing a cross above its 200-day EMA, a pattern known as a golden cross.
- This golden cross is projected to confirm around September 11.
- It would be the first golden cross since November 2025.
- U.S. spot Bitcoin ETFs saw $3.8 billion in net inflows over the past three weeks.
Bitcoin's price pulled back 1.22% to $77,323, failing to maintain its momentum above $80,000 as broader markets experienced a sell-off driven by hotter-than-expected August Producer Price Index data. This inflation news revived fears that the Federal Reserve might consider further rate hikes instead of cuts, impacting risk assets across the board. The S&P 500 dropped 0.59% and the Nasdaq fell nearly 1%.
Despite the intraday dip, technical indicators suggest a constructive outlook for Bitcoin. The Average Directional Index (ADX) stands at 45.8, indicating a strong trend, while the Relative Strength Index (RSI) is at 55.6, comfortably within bullish territory without signaling overbought conditions. The gap between Bitcoin's 50-day Exponential Moving Average (EMA) and its 200-day EMA has significantly narrowed, with a projected "golden cross"—where the shorter-term average crosses above the longer-term one—expected around September 11. This would be the first such bullish signal since November 2025.
Furthermore, U.S. spot Bitcoin ETFs have attracted $3.8 billion in net inflows over the last three weeks, marking their strongest period of 2026 and bringing total net assets to $101.3 billion, indicating sustained institutional demand. However, traders are cautioned against viewing the golden cross as a definitive guarantee, as it is a lagging indicator. With upcoming Consumer Price Index (CPI) data and the Federal Reserve's September meeting, market volatility is anticipated, and future price movements may be more influenced by inflation data than the moving average crossover.