Weak jobs report kills rate-hike fears — Bitcoin and crypto stocks poised to ride the momentum
The June jobs report came in at roughly half of what Wall Street expected, which immediately killed the threat of upcoming interest rate hikes. This shift in expectations is pushing investors out of safe-haven bonds and back into riskier assets like Bitcoin, which immediately broke above $62,000.
Idea
A severely underwhelming June jobs report of 57,000 new hires effectively took the threat of near-term Federal Reserve rate hikes off the table. According to Bloomberg, this immediately sparked a massive bond market rally as investors adjusted their expectations. When interest rate expectations drop, hard assets like Bitcoin become highly attractive because they don't yield interest, making their opportunity cost drop. As noted by Cointelegraph, Bitcoin immediately tapped a new monthly high above $62,000 as the jobs data hit the wires. This combination of fading macroeconomic headwinds and crypto momentum provides a strong tailwind for digital assets.
What happened since
| Symbol | Dir | T+1 | T+5 | T+20 |
|---|---|---|---|---|
| BTC | LONG | +0.88% ✓ | -0.47% ✗ | — |
Price change since publication · updated Jul 11