Bitcoin’s Price Reacts to U.S. Employment Data: What You Need to Know!

Bitcoin (BTC) $103,705 price began to reflect optimism after dropping to $97,200. The U.S. Bureau of Labor Statistics (BLS) released its Non-Farm Payroll data for January 2025 on February 7, 2025, accompanied by earnings and unemployment rate figures. This data has a significant impact on the cryptocurrency market.

U.S. Data and Cryptocurrency

The Non-Farm Payroll figure came in at 111,000, significantly lower than the expected 158,000. This disappointing result indicates a weakening employment sector, which is seen as positive for cryptocurrencies. It provides support for the Federal Reserve to continue its interest rate cuts. Despite the weak data, the unemployment rate remained at 4%, below expectations. This is promising, as future data is expected to show an increase, which would better price in potential rate cuts.

Market Revisions and Focus

The average monthly employment growth in the U.S. for 2024 was revised down from 186,000 to 166,000. It’s already been noted that last year’s employment figures would be revised favorably for risk markets. The markets are focusing on potential interest rate cuts in May.

BTC price is currently around $98,500.