Bitcoin price reacts to US jobs report and declining unemployment rate

Friday’s release of the US jobs report showed that overall expectations for more than 160,000 jobs to be filled were missed.

Bitcoin reacted with a surge towards $57,000 as the report could provide a clearer picture of what the US Federal Reserve is about to do in less than two weeks.

The country’s labor department announced that local employers added 142,000 new jobs in August, which was less than the 160,000 expected.

Taking figures from July and June into account, the August results brought the three-month average to 86,000, which is still well below the 202,000 seen the year before summer 2024.

The bright side of the US economy came in the form of unemployment rates. As reported last month, the metric had soared to 4.3% for July, which was the highest since October 2021. In August, rates fell slightly to to 4.2%, in line with the expectations of most experts.

Earlier data indicated that the US Federal Reserve will indeed cut interest rates later in September, as Chairman Jerome Powell hinted at last month. According to most reports, the cut will be 25 basis points.

BTC price reacted quickly to the report released by the US government, as it has been particularly susceptible to anything coming from the world’s largest economy lately. It went from $55,500 to $57,000 in a matter of minutes, but has failed to break above that level so far.

Bitcoin/Price/Chart 06.09.2024. Source: TradingView SPECIAL OFFER (Sponsored) Binance Free $600 (Excludes CryptoPotato): Use this link to register a new account and receive an exclusive welcome offer of $600 to Binance (full details).

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