Increased Bitcoin Volatility as US Jobs Data Exceeds Expectations

The payroll and job reports from the world’s largest economy were slightly above expectations for September.

However, BTC reacted with a sharp price decline, as it typically happens when the US publishes any sort of data lately.

  • Although the numbers for September are below August and the average for 2022, the States added 263,000 new jobs during the month, and the unemployment rate decreased to 3.5%, said the Bureau of Labor Statistics.
  • These figures are slightly above expectations, especially given the aggressive interest rate hike by the nation’s central bank following the record-setting inflation.
  • Nevertheless, the wages couldn’t keep up with the inflation – 5% for the former and 8.3% for the latter.
  • Although the numbers are generally better than expected, most markets reacted with immediate price declines, including bitcoin.
  • The primary cryptocurrency took a sharp dive from over $20,000 to just north of $19,000. While this may sound contradictive in nature, Tree of Alpha – a popular crypto analyst – took it to Twitter to explain why that might is.
  • The strategist believes the higher numbers of jobs added (NFP), lower unemployment, and higher wages could be bad for crypto as well as equities and vice-versa. He also added:

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