Bitcoin (BTC) has largely given up yesterday’s modest rebound, returning to $61,900 in morning trading in the US, down 0.8% in the past 24 hours.
The US non-farm payrolls report for May will arrive in a few minutes. Although the interest rate outlook has taken a backseat to other concerns amid this week’s crypto price plunge, this morning’s data will nonetheless be significant.
Markets went from certainty of rate cuts this year to rate hikes as inflation rose, in part because of rising energy costs. The only thing that could change this rate outlook would be a significant slowdown in the labor market.
If the interest rate outlook makes another 180-degree turn (this time towards cuts), it could prove to be a tailwind for crypto markets.
