Bitcoin Lifts as U.S. Stocks Rebound from Sharp Early Losses

U.S. equities stumbled out of the gate after the three-day weekend but have since pared back much of their initial declines.

Crypto markets, meanwhile, are entering September on a stronger footing following a turbulent end to August. Momentum picked up as U.S. traders returned, propelling bitcoin (BTC) from the month’s opening level near $107,500 to as high as $111,700. At last check, BTC traded around $111,600, up 2.5% over the past 24 hours. Solana (SOL) and XRP posted similar gains, while ether (ETH)—August’s standout performer—was little changed.

Stocks Stabilize After Rough Open
A rebound in equities likely bolstered sentiment in digital assets. U.S. indices opened sharply lower on tariff concerns and climbing global bond yields, with the Nasdaq down 2% at the session’s start. Roughly 90 minutes in, however, buyers stepped in, cutting those early losses by about half.

Data and Policy in Focus
Economic releases are also shaping the tone. The ISM Manufacturing Index for August printed at 48.7, slightly below expectations and signaling continued contraction. The Prices Paid subindex softened to 63.7, easing somewhat from last month and hinting at reduced cost pressures.

The spotlight now shifts to Friday’s U.S. employment report. A strong showing could complicate the Federal Reserve’s anticipated September rate cut, while a weaker print might open the door to a larger 50-basis-point move versus the widely expected 25.