Bitcoin Soars Toward $114K as Markets Bet on Big Fed Rate Cut
Ethereum (ETH) hovered near $4,400, up 0.9%. Among major altcoins, Solana led gains with a 3.5% surge, followed by Hiperliquid (+2.8%).
Quick overview
- Cryptocurrencies rose on September 10, following lower-than-expected U.S. wholesale inflation data, which increased hopes for Federal Reserve rate cuts.
- Bitcoin traded above $113,760 with a 2% increase, while Ethereum hovered near $4,400, and Solana led altcoin gains with a 3.5% surge.
- The U.S. Producer Price Index showed a 0.1% monthly decline, reinforcing expectations for rate cuts at the Fed's upcoming meeting.
- Equity markets also reacted positively, with the S&P 500 and Nasdaq reaching record highs, while Oracle's stock surged 36.1% after impressive revenue growth.
Cryptocurrencies traded higher on Wednesday, September 10, after fresh data showed U.S. wholesale inflation came in below expectations, boosting hopes for multiple Federal Reserve rate cuts this year.
Bitcoin (BTC), the market’s flagship asset, rose 2% early in the session to trade above $113,760 on Binance. Ethereum (ETH) hovered near $4,400, up 0.9%. Among major altcoins, Solana led gains with a 3.5% surge, followed by Hiperliquid (+2.8%) and Cardano (+2.3%).
Macro tailwind
The U.S. Producer Price Index (PPI) for August posted a 0.1% monthly decline and a 2.6% year-over-year increase—both well below forecasts. The reading strengthened expectations that the Fed will cut rates at its September 17 meeting, with markets increasingly pricing in additional easing through year-end.
Lower borrowing costs typically support demand for risk assets such as cryptocurrencies. The next key release will be Thursday’s Consumer Price Index (CPI), the Fed’s final inflation print before its policy decision.
Wall Street reaction
Equity markets also welcomed the data: the S&P 500 (+0.3%) and Nasdaq (+0.03%) both hit fresh record highs, while the Dow Jones slipped 0.5%. Oracle was the standout corporate story of the day, soaring 36.1% after reporting a staggering 1,529% surge in MultiCloud database revenue, powered by partnerships with Amazon, Google, and Microsoft. The company guided that Oracle Cloud Infrastructure bookings will surpass half a trillion dollars, underscoring strong demand for AI-driven services.
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