Bitcoin holds near $75,500 after stronger than expected October jobs report
Bitcoin steady near $75,500 after October jobs data
Bitcoin held near $75,500 on November 6 after a stronger than expected U.S. jobs report. The price briefly rose above $76,100 and then settled back near $75,500, according to Bitcoin Magazine Pro data cited by Bitcoin Magazine.
The move came one day after a large fall in U.S. technology stocks. Bitcoin had already fallen toward $75,200 late on Thursday, then recovered into the mid-$75,000s overnight before the 8:30 a.m. ET release.
Main numbers from the October report
- U.S. employers added 165,000 jobs in October, compared with 59,000 expected by economists.
- The unemployment rate fell to 4.1% from 4.2%.
- Average hourly earnings rose 0.4% in the month and 3.1% over the year.
- August jobs were revised up by 53,000 to 186,000, and September jobs were revised up by 31,000 to 60,000.
- Bitcoin traded in a day range of about $75,240 to $76,280.
- After the data, spot Bitcoin was reported around $75,800, with a market value of about $1.52 trillion and about $48 billion in trading volume over the past day, according to Yahoo Finance data cited in the report.
What the Labor Department figures show
The Labor Department said hiring was led by professional and business services, which added 70,000 jobs. Health care added 42,000 jobs, transportation and warehousing added 25,000, and manufacturing added 19,000.
The two earlier months were also revised higher. The report states the combined revision for August and September was 84,000 jobs stronger than first reported. CNBC reported that wages also came in ahead of estimates.
How Bitcoin reacted after the release
Bitcoin first spiked above $76,100, then fell toward $75,600, before settling near $75,800 in the immediate trading after the data, the report says. At the time of writing, the price was near $75,500.
Rate futures repriced after the release. CME FedWatch odds were reported at about 79% for a 25-basis-point hike at the December 9 meeting, up from about 70% before the open. A basis point is one hundredth of a percentage point.
The report says most of the pressure on Bitcoin this week came from equity market weakness, not from the jobs data itself. It also says stronger hiring and firmer wages leave less room for another pause in rate rises.
Tech sell-off and fund outflows before the data
On Thursday, the Nasdaq Composite fell about 5.5% and entered correction territory, meaning a fall of more than 10% from a recent high. The S&P 500 lost about 4.4%, and the Dow Jones Industrial Average fell about 1,800 points, or 3.4%, according to CNBC as cited in the report.
The large technology companies known as the Magnificent Seven lost more than $1 trillion in market value. Nvidia alone fell more than 9% and lost about $440 billion in market value, the report says.
U.S. spot Bitcoin ETFs, which are funds that trade on a stock exchange and hold Bitcoin, recorded $430.2 million in net outflows on Thursday, according to CoinDesk as cited in the report. Fidelity's FBTC accounted for about $200 million of that total, and BlackRock's IBIT accounted for about $105 million. Outflows for the week through Thursday reached about $870 million.
More than $1 billion in crypto positions were liquidated over 24 hours, the report says. Liquidation means a trading position is closed by a platform when losses pass a set limit. Most liquidations were long positions, which bet on higher prices.
Facts supported by the supplied sources
The jobs total, unemployment rate, wage growth, and revisions come from the Labor Department figures reported in the article. The Bitcoin price moves come from Bitcoin Magazine Pro and Yahoo Finance data cited in the article.
The Thursday stock market falls come from CNBC reporting cited in the article. The ETF outflows and liquidations come from CoinDesk reporting cited in the article. The rate odds come from CME FedWatch as cited in the article.
What happens next
The next U.S. employment report is due on December 4, five days before the December 9 Federal Reserve meeting, according to the report. House Democrats are also drafting their own crypto market structure bill ahead of taking committees in January, the report says.
The report says traders are watching whether Bitcoin can defend the mid-$75,000 area. It notes that area held on election night and several times since August. That is a description of market attention, not a confirmed outcome.
Where this report is based
Newisty Editorial Team covers technology, cryptocurrency, digital products, online platforms, developer tools and the wider digital economy. Our content is researched from official sources, company announcements, public documentation, market data and other primary or reputable sources. Articles are reviewed and edited before publication for clarity, accuracy and useful context.
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