Bitcoin Slumps Below $80K Amid Fed Hike Bets and Oil Price Surge

Bitcoin's price has fallen below $80,000 after expectations of a Fed rate hike and rising oil prices dampened risk appetite. The cryptocurrency was trading at $79,724.8 at 08:01 Moscow time on Monday, down by approximately 0.3% on the day.

Last week, Bitcoin briefly rose above $82,000, reaching its highest level in over three months, but then retreated following the release of US employment data on Friday.

The jobs report showed that US employers created 162,000 jobs in August, almost three times economists' expectations, and the unemployment rate remained at 4.1%. The FedWatch data indicated that markets now put the probability of a Fed rate rise at its September meeting at around 60%, up from 49% prior to the data release.

Higher interest rates typically put pressure on Bitcoin and other speculative assets by increasing the opportunity cost of holding non-yielding assets and tightening financial conditions. Oil prices have also added uncertainty, with Brent crude rising to around $97 per barrel amid military tensions between the US and Iran.