Bitcoin Holds Positions at $110.8K: Market Cautious Due to US Rates and Tariffs
Stabilization of Bitcoin Price
Bitcoin shows relative stability, consolidating at $110,812.6 as of 08:38 Moscow time on September 3, 2025, adding 0.5% over the day. After falling to a two-month low of $107,000 earlier this week, the world's largest cryptocurrency has regained some losses but remains cautious amid uncertainty regarding US economic policy.
Influence of Macroeconomic Factors
The cryptocurrency market is under pressure due to uncertainty around US trade tariffs and expectations for a Federal Reserve rate cut. Increased risk aversion among investors has led to a capital outflow from cryptocurrencies into safer assets such as gold and the US dollar. Bond yields in leading economies are rising amid concerns about high levels of government debt, which puts pressure on risky assets, including Bitcoin, which correlates with tech stocks like the NASDAQ Composite.
The anticipation of US labor market data, including non-farm payroll numbers to be released on Friday, adds to the uncertainty. Weak figures may signal a potential 25 basis point rate cut by the Federal Reserve in September, which, according to the CME Fedwatch tool, has a probability of over 90%. However, worsening labor market conditions also increase risks for the US economy, heightening traders' caution.
Reaction to Corporate Purchases and Political Events
Large corporate Bitcoin purchases, such as Strategy’s (formerly MicroStrategy) acquisition of 4,048 coins worth about $450 million in the last week of August, failed to significantly impact the price. This indicates limited investor enthusiasm in the current conditions.
A recent US appeals court decision recognizing most of the tariffs imposed by President Donald Trump as unlawful added uncertainty. Trump has expressed his intent to appeal this decision to the Supreme Court, which could extend market instability. Moreover, his attempts to dismiss Federal Reserve Governor Lisa Cook met with legal resistance, which also affects investor sentiment.
Movement of Altcoins and Market Prospects
Altcoins such as Ethereum (-2.42%), Cardano (+1.05%), XRP (+0.66%), Dogecoin (+0.46%), and Solana (+2.12%) show mixed dynamics, reflecting overall market caution. Tokens related to Trump's crypto venture World Liberty Financial plummeted sharply on their public market debut, highlighting instability in the new digital assets segment.
Analysts urge caution, noting that the seasonal weakness of September (the average Bitcoin return in this month is historically -3.7%) and outflows from crypto ETFs could increase market pressure. However, some experts see the current downturn as an opportunity for long-term purchases if the macroeconomic situation stabilizes.
Conclusion
Bitcoin has stabilized around $110.8k, but the market remains influenced by uncertainty around US trade tariffs and Federal Reserve policy. Investors await key economic data that could determine future price trajectories. In a highly volatile environment and given the correlation with risky assets, traders should exercise caution, closely monitoring macroeconomic and political events.