Bitcoin climbed back above $77,500 on Thursday, and XRP led the biggest cryptocurrencies higher, as traders trimmed their bets that the Federal Reserve will raise interest rates in September. In plain terms, cheaper-money hopes gave risky assets like crypto a lift.
Bitcoin Reclaims $77,500 as Crypto Sentiment Improves
Bitcoin traded above $77,600 during Asian hours on Thursday, bouncing back from a 24-hour low near $76,400, CoinDesk reported. A live market snapshot later showed the coin near $78,538. For related coverage, see Bitcoin Falls Below $65K as Oil Rises Above $100 After Tanker Attacks.
The $77,500 level matters because it sits just above where many recent buyers stepped in. Holding above it tells traders that dip-buyers still have control. Bitcoin was up about 2.3% over 24 hours in that snapshot. For related coverage, see Why Bitcoin Crashed Below $60K After Support Failed.
Sentiment turned brighter too. The crypto Fear and Greed Index printed 65, a “Greed” reading. That gauge runs from 0 to 100, and higher numbers mean investors feel more confident about taking risks.
This bounce is a sharp change of mood from earlier stretches when Bitcoin slipped ahead of a Fed decision. For someone holding a little Bitcoin on an exchange like Coinbase, the takeaway is simple: the coin recovered a key price shelf, but the mood can shift fast.
XRP Leads Major Tokens in the Latest Risk-On Move
XRP, the token tied to payments company Ripple, led the largest cryptocurrencies, rising about 4.5% over 24 hours in the same market snapshot.
That put XRP ahead of BNB at 4.3%, Solana at 3.5%, Bitcoin at 2.3%, and Ethereum at 1.5%. When smaller, more volatile coins outrun Bitcoin, it usually signals traders are feeling bolder about risk.
XRP’s lead was the defining feature of the session, not a footnote. Broad, coin-by-coin green like this often follows a macro trigger rather than one project’s own news. Big up days like this echo past moments when Bitcoin and Ethereum surged together.
Falling Fed Hike Odds Offer the Macro Backdrop
The trigger was a shift in rate expectations. CoinDesk, citing the CME FedWatch tool, said the odds of a quarter-point hike on September 16, 2026 sat just above 62%, down from just above 67% a day earlier and about 37% a week before.
Here is why that matters for crypto. When the Fed raises rates, safer options like savings and bonds pay more, so money tends to leave riskier bets like Bitcoin. When hike odds fall, the opposite pull kicks in, and crypto often catches a bid. That link was clear when Bitcoin reacted to inflation relief in earlier sessions.
The policy backdrop is still hawkish, though. In his August 28, 2026 Jackson Hole speech, Fed Chairman Kevin Warsh said the preferred PCE inflation measure stood at 3.7%, above the Fed’s fixed 2% target.
Governor Michael Barr went further on September 1, 2026, saying the Fed should act decisively and raise rates at the September meeting if inflation does not moderate enough, according to his prepared remarks. So a hike is still very much on the table.
Independent voices agree the outcome is not settled. Research analyst Jim Bianco @biancoresearch noted that the September meeting looks like a lean toward a hike rather than a done deal.
The next big test is the U.S. jobs report due September 4, 2026. A weak reading could push hike odds lower and support crypto; a strong one could do the reverse. For a curious newcomer, the lesson is that crypto right now moves with Fed expectations, so watching the jobs data and the September 16 meeting matters as much as watching price charts.
Disclaimer: This article is for informational purposes only and does not constitute financial or investment advice. Cryptocurrency and digital asset markets carry significant risk. Always do your own research before making decisions.
