Strength into the FOMC
BTC rose 3% last week on softer PPI, stable CPI, and labor data revisions, boosting FOMC cut hopes. Despite the uptrend, activity stays muted. ETF inflows hint at momentum, but mixed signals from high offshore leverage favor caution.
Preview
Strength into the FOMCBitcoin extended its strong September run with a 3% weekly gain, driven by a mid-week rally following softer-than-expected U.S. PPI data (-0.1% MoM), in-line CPI at 0.4%, and downward labor data revisions. These macro signals boosted hopes for a 25bps rate cut at the upcoming FOMC meeting. Despite this upward price action, BTC’s spot market remains subdued, with average daily volumes around $2.6 billion alongside continued low activity on CME. However, ETF inflows broke this passive trend, suggesting a potential shift in momentum. Last week’s net inflows of 20,685 BTC into BTC ETPs marked the strongest week since July 22, indicating renewed institutional demand. U.S. spot BTC ETFs now hold 1.32 million BTC, surpassing their previous all-time high from July 30.Still, activity r
