US jobs data boosts rate cut bets, causing Bitcoin price to surge 5% to $62K

Bitcoin (BTC) experienced a 5% increase on May 3 due to positive United States employment data. The price of BTC/USD on Bitstamp surpassed $62,000, thanks to the impulsive price movement tracked by Cointelegraph Markets Pro and TradingView. The U.S. nonfarm payrolls data for April was below expectations, indicating labor market weakness that could lead to interest rate cuts by the Federal Reserve. This news brought relief to the stock market, with Dow Jones futures surging 500 points. However, there are concerns about how the Fed will handle inflation issues in the future, as the labor market weakens, GDP growth decreases, and inflation rises. The latest estimates from CME Group’s FedWatch Tool suggest that the probability of a rate cut at the June meeting of the Federal Open Market Committee is just below 15%, while the odds for a minimal 0.25% cut at the July meeting are 33%. Commentators are hopeful that the recent BTC price increase will hold as support and that the dip in prices over the past week was only temporary. Rekt Capital, a popular trader and analyst, believes that BTC/USD is almost out of a “danger zone” associated with block subsidy halving events. The area around $60,000 has been a key support level for the bull market trendlines. Whale behavior has also been observed, with Bitcoin whales accumulating 47,000 BTC in the past 24 hours, according to Ki Young Ju, the founder of CryptoQuant. It is important to note that this article does not provide investment advice or recommendations, and readers should conduct their own research before making any decisions.