Live Bitcoin Update: BTC Rises as Lower Rates Lift Market Sentiment

Bitcoin moved higher from its session low Thursday as Treasury yields pulled back following Wednesday’s sharp sell-off in the U.S. bond market.

The 10-year Treasury yield was down 2.4 basis points at 5.092%, while the two-year yield fell 3.9 basis points to 4.856%.

The easing in yields helped reduce pressure across risk assets. The Nasdaq, which had been down more than 1%, narrowed its decline to around 0.5%. Bitcoin also recovered to $84,300 after sliding to roughly $83,000.

New Home Sales Outperform Forecasts

U.S. new home sales increased to a seasonally adjusted annualized rate of 684,000 in August, compared with 643,000 in July, according to Census Bureau data.

Economists had anticipated a decline to 620,000. The figures can be subject to significant revisions.

Barkin Leaves Door Open on Future Rates

Richmond Fed President Tom Barkin said the central bank’s decision to raise rates last week was influenced by signs that recent inflation shocks may be lasting longer than initially expected.

“New tariffs are still cropping up,” Barkin said, while also citing the ongoing conflict in the Middle East and the AI investment boom as sources of additional supply-chain pressure.

Barkin has not indicated that he supports another rate increase. He said inflation could retreat quickly if recent shocks reverse, consumers reach their limits, investment slows, markets correct or employment weakens enough to become the main concern.

Oracle Seeks Force Majeure Relief

Oracle (ORCL) has issued a force majeure notice concerning Blue Owl Capital’s Project Jupiter data center in New Mexico, according to Bloomberg.

Such clauses can delay or excuse contractual obligations when events outside a company’s control interfere with a project. Oracle is seeking to defer payments if the facility fails to begin operations as scheduled in 2028, although the applicability of the clause remains uncertain.

Blue Owl (OWL) fell 2.3% in premarket trading, while Bloom Energy (BE) dropped 4.4%. Oracle shares were down 4.2%.

Jobless Claims Remain Low

Initial U.S. jobless claims held close to historically low levels last week, offering another indication of a resilient labor market.

Claims totaled 197,000, compared with 196,000 in the previous reading. Economists had expected 201,000.

Treasury Volatility Climbs

Volatility in the Treasury market surged as bond yields reached multi-year highs.

The MOVE index rose 21% to more than 95, its highest level since April. The 10-year Treasury yield reached 5.116%, the highest since 2007, while the 30-year yield climbed to 5.419%, its highest since 2004.

Gundlach Flags Competing Risks

Jeff Gundlach, founder of DoubleLine Capital, pointed to conflicting consequences for the Federal Reserve.

He said another rate hike could increase the government’s interest burden because much of its debt is financed at the short end of the curve. A rate cut, however, could add further pressure to inflation.

Bitcoin and Equities Remain Lower

Bitcoin traded near $83,500 about two hours ahead of the U.S. market open, down 2.55% over the previous 24 hours. Ether and Solana were each down roughly 3%, while XRP declined 7.5%.

U.S. equity futures remained under pressure, with Nasdaq futures down 0.9% and S&P 500 futures