Bitcoin and crypto slide as jobs data dims rate cut hopes

Bitcoin and crypto markets fell after strong U.S. jobs data and major 2025 job revisions, pushing Treasury yields higher and reducing hopes for near-term Fed rate cuts.

Bitcoin and the broader cryptocurrency market experienced notable declines after the release of strong U.S. employment data for January, which reported 130,000 jobs added and an unemployment rate of 4.3%. These robust labor figures, along with a significant downward revision of nearly 900,000 jobs for 2025, pushed U.S. Treasury yields higher and reduced expectations for imminent Federal Reserve rate cuts. As a result, Bitcoin struggled to hold above $67,000, while the total crypto market cap dropped nearly 3% to $2.35 trillion. Market sentiment remains fragile, with the Crypto Fear and Greed Index plunging to lows not seen since the 2022 bear market. While most altcoins suffered losses, a few outliers posted gains due to project-specific news. The market's reaction highlights the sensitivity of digital assets to macroeconomic data and monetary policy shifts.