Bitcoin Slips Below $84K as Strong US Data Boosts Yields

Bitcoin (BTC) dropped under $84,000 on Wednesday following an unexpected surge in US business activity that drove Treasury yields higher.

The decline occurred roughly an hour after the data was published. It erased a morning advance that had pushed Bitcoin past $87,000 on Binance.

What the US Business Survey Revealed

The S&P Global flash Purchasing Managers’ Index (PMI) is an early monthly gauge surveying around 1,150 US companies. A figure above 50 indicates expansion in business activity.

The composite reading for September advanced to 58.4 from 56.0 in August. That marks the fastest growth since July 2021. The manufacturing index surged to 57.0 from 53.9, its highest level since May 2022.

Yet the report also highlighted increasing costs. Input prices rose at the quickest pace since October 2022, with oil pushing up fuel and transport expenses. Meanwhile, hiring reached its fastest pace since June 2022.

Chris Williamson, chief business economist at S&P Global Market Intelligence, offered a caution about the outlook.

“Firms’ input costs have meanwhile jumped in September at the steepest rate for four years, with fuel and transport costs spiking higher thanks to the rise in oil prices seen during the month, which will add further to the upward pressure on selling prices and inflation in the coming months,” said Chris Williamson.

How Higher Yields Drove Bitcoin Below $84,000

Treasury yields reflect the return investors require to lend to the US government. They typically climb when markets anticipate higher interest rates.

The 10-year yield rose to 5.058% after the data release, TradingView figures show. It had closed at 4.96% on Tuesday, per the Treasury.

BREAKING: US 10-year bond yield is back above 5%, a new 19-year high.

The sudden jump comes right after September's flash PMI data blew past forecasts, with composite PMI hitting a 5-year high, which pushed the odds of another Fed rate hike even higher.

The 2-year yield is also… pic.twitter.com/Gqwe8HypcT

— Bull Theory (@BullTheoryio) September 23, 2026

The Federal Reserve (Fed) raised its benchmark rate to a range of 3.75% to 4% on September 16. Its statement indicated the move would accelerate a return to 2% inflation.

Higher yields reduce the appeal of assets that pay no interest, such as Bitcoin. BeInCrypto warned of that precise risk on September 15, when the 10-year first hit 5%.

The downturn came hours after BeInCrypto noted Bitcoin up 13% since the Fed hike. A day earlier, Tom Lee and iTrustCapital’s chief executive stated the worst is over.

Final September PMI figures will be released on October 1 for manufacturing and October 5 for services.