Bitcoin Price Faces Pressure Amid Fed Rate Cut Speculation and Trade Policy Uncertainty

Key Points

1. Bitcoin dropped 2.1% to around $115,500 following a weaker-than-expected U.S. jobs report, with Ethereum, XRP, and Solana also experiencing losses.

2. The U.S. economy added only 73,000 jobs in July, with revised data for May and June showing a combined loss of 258,000 jobs, increasing the probability of a Fed rate cut to 78%.

3. New U.S. tariffs on imports from over 60 countries, including hikes on Canadian and Brazilian goods, added complexity to market dynamics.

4. Stock indices like the S&P 500, Nasdaq, and Dow Jones also declined, reflecting broader market uncertainty.

5. Analysts suggest that potential Fed rate cuts could increase liquidity, possibly benefiting Bitcoin and other cryptocurrencies in the longer term.