U.S. jobs data beat expectations, boosting Fed rate hike expectations, but the crypto market isn’t buying it: BTC has plunged straight below the $75,000 mark.
The latest U.S. nonfarm payrolls data far exceeded market expectations, directly increasing the likelihood of a Fed rate hike in December. In theory, rising expectations of a Fed rate hike should benefit all risk assets, including cryptocurrencies. But the actual market reaction has been different: Bitcoin continued to weaken after the data was released, and its price has now fallen below the $75,000 threshold. This suggests the market may be more concerned about the negative impact of rate hikes on the economy than hopeful about an additional boost for crypto markets. South Korea is one of the world's most active crypto trading markets, and local investors may be starting to pull out amid risk aversion, further intensifying selling pressure on BTC.
Market impact
- Short term: Expectations of a Fed rate hike will continue to weigh on risk appetite, and BTC and ETH may remain weak and volatile in the near term. Capital may flow into safe-haven assets such as bonds.
- Medium term: If a rate hike ultimately goes ahead, the crypto market's independence and correlation with other markets may weaken further. The industry landscape could be reshuffled, and regulatory pressure may increase.
My take
The current situation is more likely to be bearish. The Fed's hawkish stance has heightened concerns about an economic downturn, while the crypto market has not benefited as tech stocks have. $75,000 is an important psychological threshold; if it breaks decisively, the next downside target could be around $72,000. In the short term, I recommend staying on the sidelines and closely monitoring signs of capital flowing into traditional safe-haven assets such as bonds.
$BTC $ETH #BTC #ETH
⚠️ This is not investment advice
#BitcoinRebounds$75KAsChipsLead
The latest U.S. nonfarm payrolls data far exceeded market expectations, directly increasing the likelihood of a Fed rate hike in December. In theory, rising expectations of a Fed rate hike should benefit all risk assets, including cryptocurrencies. But the actual market reaction has been different: Bitcoin continued to weaken after the data was released, and its price has now fallen below the $75,000 threshold. This suggests the market may be more concerned about the negative impact of rate hikes on the economy than hopeful about an additional boost for crypto markets. South Korea is one of the world's most active crypto trading markets, and local investors may be starting to pull out amid risk aversion, further intensifying selling pressure on BTC.
Market impact
- Short term: Expectations of a Fed rate hike will continue to weigh on risk appetite, and BTC and ETH may remain weak and volatile in the near term. Capital may flow into safe-haven assets such as bonds.
- Medium term: If a rate hike ultimately goes ahead, the crypto market's independence and correlation with other markets may weaken further. The industry landscape could be reshuffled, and regulatory pressure may increase.
My take
The current situation is more likely to be bearish. The Fed's hawkish stance has heightened concerns about an economic downturn, while the crypto market has not benefited as tech stocks have. $75,000 is an important psychological threshold; if it breaks decisively, the next downside target could be around $72,000. In the short term, I recommend staying on the sidelines and closely monitoring signs of capital flowing into traditional safe-haven assets such as bonds.
$BTC $ETH #BTC #ETH
⚠️ This is not investment advice
#BitcoinRebounds$75KAsChipsLead
