Aug 4, 2023

Bitcoin (BTC) is trading around the $29,200 level as the U.S. economy added 187,000 jobs in July with the unemployment rate little-changed at 3.5%.

Video transcript

The July Jobs report is out, 100 and 87,000 jobs were added last month with the unemployment rate just changed a little at 3.5%. Lawrence. I mean, this was less than what economists had said because they said 200 K. Right. Yeah, I, I mean, on the other hand, it wasn't, uh, on the upside. Right. So we didn't see, uh, let's say 2, 13 or 2 20 which would have, uh, spurred the market to think. Ok, you know what the Fed might, uh, continue raising rates. What's interesting to note is that when we look at the market probabilities, uh, how it assigns probabilities to a rate hike at most towards the, towards the end of the year, it expects a, about a third pro, uh, uh, about one third of a chance that the fed will raise rates another 25 basis points. And after that, it falls off. And so what, what it means basically is that the market feels that this kind of a number right now confirms the idea that, uh, the last rate hike was pretty much going to be the last hike for a long while, and that, of course means that the, the risk appetite if you will of the crypto markets won't be, uh, won't get cold water doused on it. Uh, a as had it been, let's say, uh, another rate hike because essentially now it, it seems as if the market says, hey, um, this is the, the fed is doing its job. It's, it's tamping down on inflation and, uh, wage growth, wage growth, et cetera. Uh I, if you, if you increase the demand for employees, you increase the demand for, for workers, prices of uh their wages go up, that creates inflation doesn't seem like that's gonna happen. So, I, I think the market is sort of in a happy place and if you notice the price of Bitcoin right after it announced it was like a slight pop of like tens of dollars, uh, out of 29,000. Not a big deal. Uh This isn't, this doesn't seem like, uh something that uh the market is too worried about. In fact, it seems a little bit happy about it. All right. Fingers crossed then.

Learn more about Consensus 2024, CoinDesk’s longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to to register and buy your pass now.