Bitcoin (BTC) briefly breaks $62,000 amid employment slowdown...Is a massive surge beginning with whale buying?

▲ Bitcoin (BTC)/AI Generated Image

Bitcoin (BTC) briefly surpassed $62,000, fueled by weak US employment figures, reigniting hopes for interest rate cuts.

According to crypto news outlet Benzinga on July 2 (local time), the cryptocurrency market rose on Thursday amidst a slowdown in US employment figures and a decreased likelihood of the Federal Reserve (Fed) holding interest rates steady. Bitcoin briefly exceeded $62,000 during the session but failed to maintain its upward momentum, falling back to the early $61,000 range.

Major altcoins also saw a concurrent rise. Ethereum (ETH) consolidated after breaking $1,700, while XRP recorded a 3.23% increase to $1.09. Solana (SOL) climbed 4.20% to $81.33, and Dogecoin (DOGE) rose 3.17% to $0.07466.

Volatility expanded in the derivatives market. According to Coinglass data, approximately $460 million worth of positions were liquidated in the cryptocurrency market over the past 24 hours, with most being short positions. Bitcoin's open interest increased by 1.14% over 24 hours, reaching $46.22 billion.

The US stock market also showed strength, absorbing the employment figures. The Dow Jones Industrial Average rose 594.83 points, or 1.14%, to close at a record high of 52,900.07. The S&P 500 Index saw a slight increase to 7,483.24, while the Nasdaq Composite ended down 0.8% at 25,832.67.

US non-farm payrolls in June increased by only 57,000, falling short of both market expectations of 110,000 and May's 129,000. The unemployment rate was 4.2%, lower than the market's anticipated 4.3%. According to CME Group's FedWatch tool, the probability of an interest rate hold in September decreased from approximately 50% the previous day to 45%.

Blockchain analytics firm CryptoQuant warned that if Bitcoin fails to hold $60,000, selling pressure could accelerate, potentially dropping it to around its realized price of $53,000. CryptoQuant noted that the average Bitcoin deposit size doubled from 1 BTC to 2 BTC, indicating increased activity from whales and institutional investors. CryptoQuant stated, "Whales appear to be driving the movement. Volatility is approaching." Crypto analyst Michaël van de Poppe commented, "The market is just waking up, and sentiment can change quickly."

[Article Summary]

-Bitcoin briefly broke $62,000 amid slowing US employment figures and expectations of interest rate cuts.

-Approximately $460 million worth of positions were liquidated in the cryptocurrency market over the past 24 hours, with most being short positions.

-CryptoQuant warned that if Bitcoin fails to hold $60,000, it could drop to around $53,000.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*