Bitcoin (BTC) has mostly given up yesterday’s modest bounce, returning to $61,900 during US morning hours, down 0.8% over the past 24 hours.
In a few minutes we will release the US Nonfarm Payrolls Report for May. While the outlook for interest rates has taken a backseat to other concerns amid this week’s cryptocurrency price decline, this morning’s data will be significant.
Markets have moved from the certainty of rate cuts this year to rate hikes as inflation has risen, in part due to rising energy costs. About the only thing that could alter that outlook for rates would be a significant slowdown in the labor market.
If the outlook for interest rates takes another 180-degree turn (this time back to cuts), it could prove to be a tailwind for cryptocurrency markets.
