Bitcoin Slumps Below $80k Amid Fed Hike Bets and Oil Surge
Bitcoin's price slipped below $80,000 on Monday as investors reacted to stronger-than-expected US jobs data and escalating tensions between the US and Iran.
The jobs report showed that US employers added 162,000 jobs in August, nearly triple economists' expectations, which increased bets on a Federal Reserve interest-rate hike this month. The FedWatch tool from CME now shows a roughly 60% probability of a rate increase at the Sept. 15-16 meeting.
The price surge in oil to around $97 a barrel added another source of uncertainty, weighing on risk appetite and pushing Bitcoin down about 0.3% on the day.
Despite this pullback, institutional demand has provided some support, with US spot bitcoin exchange-traded funds recording about $1 billion in net inflows last week.