Bitcoin Rebounds End September 2025 Amid Weak Dollar and Gold Highs
Bitcoin's September 2025 Rebound:
- Bitcoin experienced a significant rebound in late September 2025 following a period of intense selling pressure.
- The recovery was driven by several factors: a weakened dollar, record gold prices, steady fund inflows, and signs of renewed accumulation.
Macro Shifts Impacting Bitcoin's Surge
- The Federal Reserve's rate cut on September 17 weakened the dollar, pushing investors towards hard assets like gold and subsequently Bitcoin.
- Concerns about the US fiscal deficit led investors to seek inflation-resistant assets, benefiting Bitcoin.
Institutional Interest Boosts Momentum
- The SEC relaxed ETF listing rules, facilitating new products for XRP and DOGE, boosting institutional confidence.
- Large funds such as BlackRock’s IBIT and Fidelity’s FBTC saw notable inflows, indicating institutional involvement rather than just retail interest.
Technical and Market Dynamics
- A critical price barrier between $108,000 and $110,000 provided strong support during the reversal.
- Momentum indicators suggested oversold conditions, prompting short covering and stabilizing market prices.
- Long-term holders had taken profits, while short-term sellers capitulated, reducing immediate selling pressure.
On-Chain Metrics Indicate Accumulation
- Exchange reserves dropped significantly as coins were moved off exchanges for long-term holding.
- The MVRV ratio began to recover, showing an increase in market value relative to realized value.