The currency circle has repeatedly bought and sold at the bottom, will Bitcoin hit a new low?
As the August non-farm payrolls data released by the U.S. Department of Labor failed to meet market expectations, the market has more doubts about the extent of the Federal Reserve's upcoming interest rate cut in September. This uncertainty is gradually spreading to the cryptocurrency market, triggering Investors are worried about a potential plunge.
According to the latest data, although non-farm employment rebounded in August from the previous month, reaching 142,000, it was still lower than analysts’ expectations of 165,000. Although the unemployment rate fell back to 4.2%, in line with expectations, the weak growth in employment still makes the market worried that economic growth momentum may be insufficient.
After the release of this data, the market's expectations for the Federal Reserve to cut interest rates by 50 basis points in September increased significantly, and the probability once climbed to 53%, forming a "50-50" situation with the expectation of a 25 basis point interest rate cut.
Nick Timiraos, "Fed's mouthpiece", said that this non-farm payrolls report did not provide the market with a clear signal on the extent of interest rate cuts, but instead exacerbated market uncertainty. Market pricing is "50/50" in guessing the extent of interest rate cuts, reflecting investors' confusion and anxiety about the future direction of monetary policy.
This uncertainty is particularly detrimental to the cryptocurrency market. The cryptocurrency market has historically been known for its high volatility and high leverage characteristics, and is particularly sensitive to changes in macroeconomic policies.
