Bitcoin (BTC) pushed above $84,000 around Thursday's Wall Street open as United States bond yields retreated after printing another round of multidecade highs. The move came at the start of October's first US trading session, with the $84,000 level in focus as BTC sought to cement a sequence of higher lows. Data from TradingView showed BTC/USD preserving the pattern of higher lows on hourly time frames, up 0.6% on the day.

US bond yields head lower after fresh macro highs

Both the US 30-year and 10-year yields set new macro highs before falling back at the Wall Street open. The 10-year yield reached 5.342% — a level last seen in April 2002 — before dropping to 5.251% at the time of writing. Treasury yields function as a benchmark for the cost of money across financial markets, which is why their trajectory is tracked closely by traders across risk assets, crypto included.

Discussing the forces behind the ongoing bond-market sell-off, Mahmood Pradhan, former deputy director of the European department at the International Monetary Fund, told the New York Times that markets worldwide were "very nervous" about mounting public debt, with rising yields increasing governments' interest costs.

"The Middle East war has really turned everything around," he said, noting that higher oil prices were already showing up in inflation data.

As Cointelegraph reported, the August reading of the US Personal Consumption Expenditures (PCE) index, the Federal Reserve's preferred inflation gauge, came in below expectations at 3.4% year on — a print that still sits well above the central bank's 2% inflation target. Markets showed little reaction to the reading, however, with analysts attributing much of the decline to a change in how PCE was calculated.

"Yields have gone up rapidly since the market became concerned that the Fed was no longer taking inflation seriously," crypto analyst Benjamin Cowen told X followers, adding: "Well the bond market has revolted, and until the Fed gets a proper handle on inflation, this will likely continue."

Analysis: Bitcoin support retest "could get messy"

Spot price action unfolded between thickening liquidity on exchange order books above and below the market. Data from CoinGlass showed $84,500 and $82,900 as key areas of interest at the time of writing, with both potentially acting as magnets for price. Liquidation heatmaps of this kind plot estimated levels where clusters of leveraged long and short positions would be forced to close, making them a standard reference for gauging nearby positioning.

Liquidations over the past 24 hours totaled $25 million, as clusters of nearby long and short positions helped preserve rangebound conditions.

Cointelegraph recently reported that the altcoin exchange deposit count jumped 160% in two weeks.

Assessing the current market setup, trader and analyst Rekt Capital forecast a fresh dip to key support at around $82,500.

"A successful retest there could set up the next trend continuation. History suggests this retest could get messy but let's take it one level at a time and not look too far ahead," he wrote on X.

Previously, Rekt Capital said bulls' ability to hold $82,500 as support would decide Bitcoin's broader rebound, making the level a key marker for the strength of the ongoing recovery.