Bitcoin Soars as Weak U.S. Jobs Data Dims Fed Rate-Hike Hopes
The market sentiment toward cryptocurrencies was boosted after a weaker-than-expected U.S. jobs data report dampened expectations of a rate hike from the Federal Reserve during the October FOMC meeting. Overnight, the total market capitalisation of cryptocurrencies rose 2.1%, hitting $2.93 trillion. In the span of just one day, Bitcoin soared to a high of $87,146. September non-farm payrolls increased by 29,000, according to data provided by the U.S. Bureau of Labour Statistics on Friday morning. Compared to last month’s revised 133 thousand additions and forecasts of 90 thousand additions, this is a significant change. Aside from that, the jobless rate jumped to 4.2% from 4.1%. The dollar fell, bond yields weakened, and expectations of a rate hike by the Federal Reserve faded in response to the unexpected news about the US labour market. Currently, the six-currency Dollar Index-which measures the value of the US dollar relative to a set of six other currencies-stands at 101.70, down 0.39 percent from its previous closing point of 102.10.
As investors became less optimistic about the possibility of a rate hike by the Federal Reserve in October, bond rates fell across a range of geographies and maturities. Meanwhile, from 64.2% a week ago and 24.4% the day before, the likelihood of a quarter percentage point hike by the Fed in October has dropped to 20.5%. The most valuable cryptocurrency, Bitcoin, is up 1.9% overnight at $85,592.68, around 32% off its all-time high of $126,198. The market leader in cryptocurrency has seen a 2.1% gain this week, but a 3.5% drop so far this year. Within a day, the market price ranged from $87,146.35 to $83,794.29. In contrast to Wednesday’s net outflow of $149 million, $103 million worth of capital flowed into Bitcoin Spot ETF products in the US on Thursday. With $196 million in net inflows, the iShares Bitcoin Trust ETF topped the list. According to statistics, Bitcoin is presently ranked eleventh among all assets globally in terms of market capitalisation. The top cryptocurrency is sandwiched between Broadcom (number twelve) and Meta Platforms (number ten).
The price of Ethereum has risen 0.7% to $2,708.12, which is about 45% behind its all-time high of $4,953. While the leading alternative coin has gained 0.6% in the last week, it has lost 9.7% so far this year. The range of prices for a 24-hour trading session was $2,773.52 to $2,672.89. On Thursday, net withdrawals of $55 million were recorded for Ethereum Spot ETF products in the US, down from $60 million the previous day. Net losses for the Fidelity Ethereum Fund were twenty-four million dollars. Based on market capitalisation data, Ethereum is now ranked 55th among all assets worldwide. Overnight, the price of the fourth-ranked BNB increased by 1.5 percent, reaching $780.82. At the time of writing, the cryptocurrency XRP, which ranks fifth, is trading at $1.53 after experiencing a 3.2% rally overnight. Solana, currently number seven, saw its price rise 3.7% overnight to $122.06, putting it about 59% below its all-time high of $294.33. On Thursday, net outflows of $1 million were recorded for U.S.-listed Solana Spot ETF products, down from $13 million the previous day.
At the moment, TRON is trading at $0.3349, having gained 0.57% and occupying the eighth spot in the rankings. Zcash, the cryptocurrency ranked 9th, saw a small gain of 0.15% overnight, and it is now trading at $1,393.37, a substantial drop of almost 77% from its all-time high of $5,941.80. The net outflows for U.S.-listed Zcash Spot ETF products were $29 million on Thursday, down slightly from $30 million the previous day. Hyperliquid, which ranks tenth, surged 2.3% overnight to $90.66, around 7% behind the all-time high of $97.98. After seeing $5 million in net withdrawals on Wednesday, U.S.-listed Hyperliquid Spot ETF products saw $5 million in net inflows on Thursday.
