Weak Jobs Report Sends Bitcoin Soaring Above $65K

The US nonfarm payrolls data for July missed expectations by 23,000 jobs, leading to a boost in both crypto and US stocks. Bitcoin hit new August highs, reaching $65,340 on Bitstamp, up 1.3% on the day.

The Bureau of Labor Statistics reported that the unemployment rate remained at 4.1%, with the change in total nonfarm payroll employment for May revised down by 66,000 and June by 37,000.

Markets reacted to the weaker labor market conditions, linking them to potential policy softening from the Federal Reserve. The S&P 500 index opened 0.5% higher, while the tech-heavy Nasdaq Composite Index added just over 1%.

Crypto and risk assets gained as markets shifted their expectations for a Fed interest-rate hike in September. According to CME Group's FedWatch Tool, there is now a high probability that the Fed will hold interest rates at current levels at its September meeting.