Bitcoin's rise to $85,500 fades as US Treasury yields stay high

Bitcoin rose as high as $85,500 on Wednesday after a softer-than-expected US inflation report. The gain faded as Treasury yields stayed near their highest levels since 2002. Bitcoin was up 0.4% at just above $83,700 on Thursday morning in Asia. CoinDesk data showed HYPE up 3% to about $89. DOGE gained nearly 2% to just under 10 cents. Ether, BNB, TRX and ZEC each gained less than 1%. XRP was unchanged at $1.50. SOL fell nearly 1% to just under $119. LVRG Research chief analyst Dan Khus said August's PCE report showed prices rising 3.4% from a year earlier. Khus said prices excluding food and energy rose 3.0% from a year earlier. Khus said the figures reduced the odds of another Federal Reserve rate increase in October and made December the more likely time for its next move. Khus said crypto markets took the figures as a relief signal, pushing bitcoin back above $85,000 as bond yields slipped and investors became more willing to buy risk assets.