Crypto Market Rebounds as Oil Prices Pull Back

Oil prices briefly surged above $100 per barrel on Monday before pulling back to around $97.5, sparking early losses in crypto markets. However, a rebound in sentiment helped Bitcoin recover from an earlier dip below $78,000, reaching $78,800.

XRP gained 3.6%, Ether advanced 1.2%, and Solana added 1% as the market shook off initial pressure. The recovery coincided with US stocks paring declines, with the Nasdaq down only 0.1% by midday.

Markets are focused on inflation and monetary policy after stronger-than-expected August jobs data increased the likelihood of a Federal Reserve rate hike. Traders currently price a 58.4% chance of a hike this month, with key reports due Thursday and Friday expected to influence the central bank's decision.