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

Bitcoin gained on Thursday, briefly trading above $62,000, as weaker-than-expected U.S. labor market data eased investor concerns about further Federal Reserve interest rate hikes. The leading cryptocurrency was trading at $61,416.6, up 2.2%, by late afternoon, providing some relief after a prolonged market downturn.

U.S. Job Growth Slows Sharply

The rally was triggered by the latest nonfarm payrolls report, which showed a marked slowdown in the U.S. economy. Key figures from the report include:

• Jobs Added: U.S. employers added just 57,000 jobs in June, falling well short of the 115,000 forecast by economists in a Dow Jones survey.
• Revisions: The prior month's figure for May was revised down to 129,000.
• Unemployment Rate: The unemployment rate edged down to 4.2%.

This unexpectedly soft data complicates the Federal Reserve's assessment of the economy and reduces the immediate pressure on the central bank to tighten monetary policy.

Implications for Monetary Policy

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The weak jobs report led traders to adjust their expectations for future Fed action. According to the source, futures markets tracked by the CME Group’s FedWatch tool showed traders had priced out the possibility of a rate increase in September. Lower interest rates are generally seen as beneficial for speculative assets like cryptocurrencies, as they reduce the appeal of safer, yield-bearing investments.

This shift in sentiment comes as Fed officials have been focused on inflation, which has remained above their 2% target. The softer labor market gives policymakers more latitude to hold rates steady as they monitor economic conditions.

Broader Market Context

Other major cryptocurrencies also advanced on the news, with Ethereum climbing 5.1% to $1,699.19 and XRP gaining 2.3%. Despite the daily gains, the digital asset market remains under pressure from persistent outflows from U.S. spot Bitcoin ETFs and weakening risk appetite. Bitcoin recorded a decline of more than 30% in the first half of 2026, as markets have increasingly moved in line with traditional risk assets and macroeconomic trends.