Investing.com– Bitcoin moved little on Wednesday amid few direct cues for cryptocurrency markets, but was sitting on sharp quarterly gains amid support from U.S. regulatory hopes.
The world’s largest crypto steadied after losing some ground earlier this week, as markets parsed a recent stalling in Treasury yields and little de-escalation in U.S.-Iran tensions.
Bitcoin fell 0.7% to $83,383.7 by 02:02 ET (06:02 GMT).
Bitcoin up 42% in Q3 on regulatory cheer
Bitcoin was set to add 42% in the three months to September 30, its best quarterly performance since the fourth quarter of 2024.
The world’s largest crypto was aided chiefly by increasing optimism over U.S. regulatory approval, as moves by the Securities and Exchange Commission helped markets largely look past the failure of the Clarity Act.
Heightened concerns over U.S. fiscal health, amid soaring Treasury yields, also spurred some flows into alternative assets like gold and Bitcoin, aiding crypto markets.
Bitcoin was also aided by top corporate holder, Strategy Inc (NASDAQ:MSTR), resuming its purchases of the crypto during the quarter.
Markets parse yield surge, Iran tensions
But surging yields still dragged Bitcoin off eight-month highs earlier in September, especially as the Federal Reserve hiked interest rates and presented a hawkish outlook.
While a rally in yields was tempered by some weak economic data and dovish commentary on Tuesday, they still remained close to multi-year highs. The 10-year benchmark in particular remained perched above 5.2% and close to a 19-year peak.
The yield rally was fueled chiefly by bets on more interest rate hikes by the Fed, with traders expecting sticky U.S. inflation to keep the central bank largely hawkish.
Adding to quarter-end pressure on crypto prices, uncertainty over the U.S.-Iran war also weighed. U.S. President Donald Trump earlier this week denied reports he had offered Iran concessions in exchange for a peace deal, after rejecting a peace offer from the country.
Crypto price today: Altcoins blaze past Bitcoin in Q3
Broader crypto prices fell on Wednesday, but were set for vastly stronger performances than Bitcoin in the third quarter.
World no.2 crypto Ether fell 1.5% to $2,665.88, and was trading up nearly 70% in Q3.
XRP fell 0.4% and was up 44.2% in Q3, while BNB was set to add 39%.
Cardano was set to add nearly 70%, while Chainlink was the best-performing altcoin, set for a nearly 100% gain.
LINK was boosted by growing bets that friendly U.S. regulation will spur more decentralized finance adoption– a scenario that stands to benefit the crypto, given that it is the native token of the Chainlink decentralized oracle network.
