- Bitcoin prices fell to retest support at $23,250 on Friday.
- The top cryptocurrency’s price action mirrored early trades on Wall Street as the market reacted to US economic data.
- The US added 517,000 jobs to the 188,000 that were expected. Unemployment fell to 3.4%, a 53-year low.
Bitcoin responded to Friday’s US jobs report by swinging nearly 2% lower to trade around $23,250 early morning. CoinJournal reported that Bitcoin lost value against the US dollar, after reaching highs of $24,086 for a brief time.
Across crypto, Ethereum had slipped towards $1,600 with about 1.4% in losses.
The US jobs data has a significant impact on Bitcoin and stock markets.
As mentioned, the early action in cryptocurrency prices mirrors the opening on Wall Street. The three major US indices moved lower after the January jobs report revealed a higher-than expected rise in nonfarm payroll.
The US Bureau of Labor Statistics released data that showed the strength of the labor market. added In the first month 2023, 517,000 new jobs were created. This statistic showed an unexpected growth that was higher than the 188,000 predicted by economists.
The US economy created more jobs in January than December’s 223,000, and the unemployment rate fell to its lowest point in half a century. Per the dataThe unemployment rate is now at 3.4%, which is the lowest since 1969. Economists predicted that the unemployment rate would be 3.5%
The market’s reaction to the economic data, together with sentiment around disappointing earnings results from across Big Tech, fueled an early sell-off on Wall Street. It’s also likely down to nervousness over what this means for the Fed’s inflation outlook.
The S&P 500 dropped nearly 1% and the Dow Jones Industrial Average lost 100 points before recovering some footing. The Nasdaq Composite suffered from a drop in tech stocks. It lost over 1.3% in the early trading.
Major indices are working to recover their early losses. Bitcoin is trading at $23,500 as of 10.25 AM ET. BTC will likely retest its intraday highs of just over $24,000 if bulls regain their upside momentum.
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