Bitcoin Taps $87,000, But Soft Jobs Data Brings $2,000 Price Drop
Bitcoin briefly surpassed $87,000 before shedding $2,000 in value following the release of soft U.S. jobs data, which fueled expectations of looser monetary policy and renewed risk-on sentiment in the crypto market.
The market had been anticipating the release of the nonfarm payrolls data, which showed a forecasted increase of 90,000 jobs in September, down from 162,000 in August, and an unchanged unemployment rate of 4.1%.
Despite the stronger dollar, Bitcoin continued to advance, with its price remaining up 1.7% over the past 24 hours.
The rally was also attributed to renewed institutional demand and shifting expectations for U.S. interest rates, with Bitcoin futures ETFs drawing $3.1 billion in inflows over nine consecutive sessions.
However, the ETF inflows streak cooled, with marginal institutional appetite down, and Bitcoin futures ETFs later recorded about $148.7 million in net outflows on Wednesday.
Oliver Carding noted that he was watching a 10-year real yield of about 3% as a monitoring level, adding that a sustained move above it would make a retest of $80,000 to $82,000 more likely than a run at $90,000.