Bitcoin Slips Below $80,000 Amid Fresh Rate Hike Bets
Bitcoin's recent rally was short-lived as it fell below $80,000 on Saturday after stronger-than-expected US jobs data raised expectations for a Federal Reserve interest rate increase.
The Labor Department reported that nonfarm payrolls grew by 162,000 in August, exceeding the projected 56,000 gain economists surveyed by Reuters had predicted.
As a result, rate hike odds shifted to around 57-59%, up from roughly 52% before the payrolls release. This led to Treasury yields and the dollar increasing, which weighed on Bitcoin and other risk-sensitive assets.
The jobs-driven selloff reversed part of a rally sparked by Federal Reserve Governor Christopher Waller's earlier comments that he could back leaving rates unchanged in September if August inflation data continued to improve.