Bitcoin price action weakens amid surprising US employment data.
Bitcoin (BTC) experienced significant volatility on July 3, influenced by stronger-than-expected US employment data, which diminished expectations for interest rate cuts. The BTC/USD pair retraced gains after reaching nearly $110,300. US nonfarm payrolls indicated more job additions in June than anticipated, while unemployment rates exceeded estimates. The May jobs figure was revised upward, reinforcing the notion of a robust labor market. Analysts warned that this data could delay Federal Reserve rate cuts, negatively impacting crypto and risk assets. Market expectations shifted, with Fed Funds Futures pricing in only two rate cuts by December 2025. Despite the initial price drop, some analysts remained optimistic about Bitcoin's long-term prospects, emphasizing the importance of maintaining support above $108,000 for potential upward movement towards $112,000 or $120,000.
