Bitcoin Climbs Above $61,000 as Weak U.S. Jobs Data Cools Rate Hike Fears

Bitcoin gained over 2% on Thursday, briefly surpassing the $62,000 level, as a surprisingly weak U.S. jobs report led investors to temper expectations for further interest rate hikes from the Federal Reserve. The move provided some relief to a market that has been under sustained pressure from institutional outflows and weakening risk appetite.

As of 16:55 ET, Bitcoin was trading at $61,416.6, up 2.2% on the day, according to Investing.com data.

U.S. Labor Market Shows Unexpected Weakness

The catalyst for the rally was the latest U.S. nonfarm payrolls report, which showed the economy added just 57,000 jobs in June. This figure fell significantly short of the 115,000 forecast by economists in a Dow Jones survey and marked a slowdown from May's revised addition of 129,000 jobs.

The unemployment rate ticked down slightly to 4.2%. The softer labor market data complicates the Federal Reserve's assessment of the economy and reduces the immediate pressure on policymakers to raise interest rates to combat inflation.

Market Reaction and Fed Outlook

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Investors interpreted the weak employment figures as a sign that the Fed may have more flexibility to hold rates steady through the summer. Following the data release, traders in the futures market, tracked by the CME Group's FedWatch tool, largely priced out the chance of a rate increase in September.

Lower interest rates are generally considered supportive for speculative assets like cryptocurrencies, as they decrease the opportunity cost of holding non-yielding investments. The development comes after Fed Chairman Kevin Warsh, speaking Wednesday, had described the jobs picture as "steady," reiterating the central bank's focus on its 2% inflation target, as reported by Investing.com.

Crypto Rebounds Amid Broader Headwinds

Despite Thursday's gains, the digital asset market remains in a challenging environment. Bitcoin recorded a decline of more than 30% in the first six months of 2026, weighed down by persistent outflows from U.S. spot ETFs and slowing institutional demand. Other major cryptocurrencies also rose on the jobs data:

• Ethereum (ETH): Climbed 5.1% to $1,699.19.
• Cardano (ADA): Rose 5%.
• Solana (SOL): Gained 4.7%.
• XRP: Increased 2.3% to $1.0820.