Bitcoin continues to trade below the $112,000 mark following the release of a disappointing U.S. jobs report, which affected expectations for Federal Reserve rate cuts.
Bitcoin's Drop After Jobs Report
Bitcoin has held below $112,000 after a challenging U.S. jobs report that shifted expectations for rate cuts. The recent downturn of the cryptocurrency is linked to technical weaknesses and macroeconomic headwinds.
ETF Outflows Impacting Volatility
Bitcoin's price remains affected by substantial ETF outflows, with long-term holders continuing to distribute. Institutional trading volumes are notably impacted by the macroeconomic climate.
Fed Tightening Cycles and Crypto Market Influence
Analyzes previous Fed tightening cycles that led to significant downturns in Bitcoin and DeFi markets. Current market conditions mirror past risk-off scenarios.
The influence of macroeconomic factors and ETF outflows on Bitcoin's price underscores the importance of monitoring trends in crypto investment. Further volatility is expected in the current environment.