Bitcoin made significant gains during Wall Street’s opening session, climbing above $62,000 and accelerating an upward trend across the crypto market. According to Bitstamp data, the BTC/USD pair rose as high as $62,137 in intraday trading, marking an approximate 4% daily increase. This surge spurred a similar recovery among altcoins, signaling renewed optimism in digital assets.
US jobs report boosts appetite for risk
Newly released US Labor Department statistics showed nonfarm payrolls rose by just 57,000 in June, well below the market expectation of 114,000. Meanwhile, unemployment held steady at 4.2%, with a total of 7.1 million unemployed—a figure that saw little monthly change.
The US Bureau of Labor Statistics reported the June unemployment rate at 4.2%, with the number of unemployed people remaining virtually unchanged at 7.1 million.
The weaker-than-expected jobs growth pointed to a slowdown in labor market demand and overall economic momentum. This has fueled expectations that the US Federal Reserve may soon adopt a more accommodative monetary policy. In turn, such prospects have supported appetite for risk-sensitive assets like Bitcoin.
The Kobeissi Letter highlighted that May’s job figures were also revised down by 43,000. A string of muted labor data has led investors to believe that inflation pressures could start to ease, further boosting sentiment in risk markets.
Mid-term optimism rises among crypto analysts
Crypto analyst Michaël van de Poppe argued that declining inflation expectations combined with weakening job data are sending strong directional signals to the market. He noted that the mid-term outlook for cryptocurrencies has turned more positive in light of these macroeconomic trends. Van de Poppe is known for closely linking his crypto analysis with broader macro developments.
Michaël van de Poppe commented that decreasing inflation expectations and changes in labor data have provided powerful public signals regarding market direction.
On the derivatives front, bullish sentiment strengthened as buyers acted more decisively. Market commentator Exitpump observed that overcoming large sell orders in Binance’s perpetual futures order book could be seen as a sign of strength, and noted increased bids from aggressive buyers.
Short positions face liquidation squeeze
According to CoinGlass data, nearly $450 million worth of short positions were liquidated across the crypto market in the past 24 hours. This underscores that the price rally has gathered steam not only from spot buying, but also from the forced unwinding of bearish trades.
Analyst Rekt Capital suggested that the long-awaited rebound for July appears to have begun. However, he cautioned that bearish momentum could regain strength in August, pointing to 21-month and 50-month exponential moving averages as key indicators. He also identified similarities between the current market structure and the 2022 bear market.
Rekt Capital further noted that if Bitcoin fails to reclaim its 50-month exponential moving average as new support during this rebound, the risk of additional downward momentum could rise over time.
