Crypto Market Plunges on Strong Jobs Data, Wipes Out $835 Billion in Minutes

The cryptocurrency market experienced a sharp decline in value following the release of strong US jobs data. Bitcoin, Ethereum, and XRP saw significant drops in price, with Bitcoin falling below $80,000 to $79,763.95. The August jobs report showed a gain of 162,000 jobs, exceeding expectations and reducing pressure on the Federal Reserve to cut interest rates.

According to Bull Theory, markets quickly priced in a higher probability of a rate hike instead, leading to a swift reaction against risk assets. A total of $835 billion was wiped out from gold, silver, and crypto within 25 minutes of the data release.

President Trump weighed in on the market's response, calling it 'crazy' and describing it as living in a 'false reality'. He also called on the Federal Reserve to cut interest rates despite the strong jobs data, threatening to stop trading with countries with which they have a deficit if the central bank doesn't act.

Meanwhile, Zcash bucked the trend, gaining 13% and pushing its price to $1,034.80. The selloff also coincided with separate inflationary pressure from energy markets, as US national diesel prices hit a record high of $5.62 per gallon.