Hours ago, BTC was trading close to $71,000, and we mentioned an impending drop. Despite a brief rise, the anticipated market movement was triggered. Those who positioned correctly are now buying at lower levels. But why did this drop occur?
Why Are Cryptocurrencies Falling?
Spot Gold price rapidly fell by 3% to $2,306. Alongside this drop, Bitcoin fell to $69,300. One hour before the US markets opened, data revealed concerning economic details. After recent positive data, the Non-Farm Payroll data exceeded expectations by over 20%. Wage increases also rose by 0.4% monthly, indicating continued demand inflation.
Seconds ago, BTC dropped, testing the $69,000 level. The certainty of a Fed rate cut before December is now in question. Half of the investors now predict a rate cut in September. If strong net outflows are seen in the ETF channel after market close, this could trigger unfavorable movements for altcoins over the weekend. A few hours ago, we mentioned the risk of BNB Coin dropping from $700 to $635. It has already fallen to $670.
