The U.S. November employment data exceeded expectations, with the S&P 500 and Nasdaq indices reaching new highs. After experiencing volatility in the previous day, Bitcoin made another push upward last night and is currently hovering around $100,000. Ethereum has also returned to the $4,000 level for the first time in nearly nine months, with a market capitalization of $485 billion, briefly surpassing Mastercard.
The non-farm employment report supports the Fed's 25 basis point rate cut in December
The U.S. Bureau of Labor Statistics reported on Friday (12/6) that non-farm payrolls increased by 227,000 in November, slightly higher than expected, and revised October's non-farm employment to 36,000, indicating a rebound in the labor market from the previous adverse weather and strikes. However, the unemployment rate unexpectedly rose to 4.2%.
Investors believe the U.S. labor market is gradually slowing, but the economy remains robust, meeting the "Goldilocks" expectations and leaving room for the Fed to cut rates again.
According to CME FedWatch data, 85% of traders expect the Fed to announce a 25 basis point rate cut at the next meeting on 12/18, up from 71% the previous day and 66% last week. However, they may hold steady in January 2025, with only three rate cuts to 3.5% for the full year 2025.
Bitcoin hovers around $100,000
After experiencing volatility in the previous day, Bitcoin made another push upward last night and is currently hovering around $100,000.
(Bitcoin surged past $100,000 and then plunged to $90K, with over $1 billion in liquidations across the network)
The total assets of the Bitcoin spot ETFs have reached $110.9 billion, accounting for 5.59% of Bitcoin's total market capitalization, surpassing Satoshi Nakamoto.
(Bitcoin spot ETFs hold more Bitcoin than Satoshi! The imbalance between supply and demand will lead to a rise in BTC prices)
ETH attempts to reach $4,000
Ethereum has also returned to the $4,000 level for the first time in nearly nine months. Its market capitalization reached $485 billion, briefly surpassing Mastercard. However, it still has about 20% upside potential to reach its all-time high of $4,868 in 2021.
The Ethereum spot ETFs recorded a net inflow of $429 million on 12/5, the highest level since inception, and the total net assets of the nine ETFs are now $13.1 billion, accounting for 2.73% of Ethereum's market value.
Stablecoin issuer Tether minted an additional $200 million USDT on Ethereum yesterday.
