Why Is Bitcoin Rise-Up Today?

Why Is Bitcoin Rise-Up Today?

A Federal Reserve governor signaled that interest rates may stay where they are, helping Bitcoin recover from its slide earlier in the week.

Key Points

Bitcoin is rebounding as Treasury yields and the dollar fall, and investors worry less about a September rate increase.

The conflict with Iran could keep oil and inflation high enough to put pressure on Bitcoin again.

Bitcoin (BTC+3.86%) is up 4.8% over the past 24 hours as of 2:50 p.m. 

ET on Thursday, Sept. 3, 2026, after U.S. Treasury yields fell and investors became less worried that the Federal Reserve would raise interest rates this month.

Lower rate fears are helping Bitcoin rebound

U.S. Federal Reserve Governor Christopher Waller on Thursday said that he would support leaving interest rates unchanged if August inflation data is positive. This led to a drop in the market's expectations for an upcoming rate increase.

Bond yields also slipped slightly from their recent highs. Both of these macro forces tend to favor higher-risk assets like Bitcoin and other cryptocurrencies.

Higher oil prices could bring the pressure back

Earlier this week, we saw the opposite happen. Renewed U.S. strikes against Iran pushed oil prices higher, increasing expectations of a rate hike, bond yields jumped, and Bitcoin dropped.

Image source: Getty Images.

Waller's comments interrupted that pattern, but I wouldn't read too much into one day's move. Oil remains expensive, and a further escalation could bring those inflation fears right back.

Bitcoin is often considered a hedge against inflation. That's the narrative, but it doesn't always behave like it, as we've seen this week. It looks more like a high-growth technology stock.

That can make it a frustrating asset to value. Still, I think it's worth adding as a small portion of a well-balanced portfolio.

Should you buy stock in Bitcoin right now?

About the Author

Johnny Rice is a contributor for The Motley Fool who has spent more than five years writing about the stock market, with a special interest in tech -- especially AI infrastructure, space stocks, and crypto. Before this, he helped found an agency, so he's seen a P&L from the inside, not just in a 10-K. He holds a B.A. in theater from the University of San Diego with minors in math and physics, and an M.F.A. in acting -- an eclectic background that has made him adept at both reading the numbers and explaining them in plain English.