Bitcoin hovers near $114K, Ether stays range-bound

ISLAMABAD: Bitcoin was seen trading slightly higher on Thursday morning, holding above the $113,000 mark as market sentiment steadied after a volatile few weeks.

The world’s largest cryptocurrency rose by $3.90 to $113,967 at around 9:40 AM UTC, briefly touching an intraday high of $114,438 at 6:51 AM before slipping back into the red moments later, dipping $123 to $113,838 by 9:45 AM.

Despite the back-and-forth movement, Bitcoin’s current level reflects a notable recovery from the $110,979 mark it hit around 1:30 AM UTC on Wednesday. Even so, the token remains well below the $123,332 level seen a month ago on August 14.

Over a longer horizon, however, BTC’s rally remains impressive. It has surged by around $34,367, or 43 percent, in the past six months. Year to date, it is up 21.85 percent, or about $20,418. In one-year terms, the gains are even sharper at over 100 percent, translating to an increase of $57,182.

Rate cut hopes fuel optimism

The latest rebound came as Bitcoin briefly crossed the $114,000 mark after softer-than-expected US inflation data. The August Producer Price Index (PPI) came in below market forecasts, while a historic downward revision in jobs data earlier this week further boosted bets that the Federal Reserve could cut interest rates as early as its 17 September meeting.

According to the CME FedWatch tool, traders are now pricing in a 90 percent probability of a rate cut. Analysts at Tephra Digital said on X that if Bitcoin’s lagged correlation to M2 money supply and gold holds, the token could rally to between $167,000 and $185,000 by the end of the year.

On-chain analytics firm Santiment also struck an upbeat tone, noting that many traders have turned pessimistic recently, expecting Bitcoin to drop below $100,000 and Ether to fall under $3,500. It added that markets often move opposite to crowd sentiment, suggesting fears of a deep retrace may not materialise.

Ether stays range-bound

Meanwhile, Ether gained $76.52, or about 1.76 percent on the day, but has remained stuck between $4,250 and $4,500 for several sessions. A breakout above $4,500 could set up a test of the $4,957 resistance, while a drop below $4,250 risks pushing it down to $3,745.

Pakistan mulls crypto law amid ransom fears

In Pakistan, the debate over digital currencies took a serious turn after lawmakers were told that kidnappers are increasingly demanding ransom in cryptocurrency. During a Senate Standing Committee on Finance session, Senator Mohsin Aziz warned that criminals are exploiting the unregulated nature of crypto to avoid detection.

Finance Secretary Imdadullah Bosal acknowledged the absence of a legal framework and said the proposed “Virtual Asset Bill 2025” seeks to improve transparency and curb money laundering. A consultant from the Law Ministry said the bill would create an independent regulatory board to oversee the sector.

Police data shows Islamabad recorded 891 kidnapping cases last year, with experts linking the trend to weak law enforcement and low public awareness, along with political and economic factors.

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