Bitcoin Faces Key Test as Fed Uncertainty and Market Exhaustion Collide

Bitcoin is treading water near $105,000, but pressure is building on both sides of the trade as macro forces tighten.

Market watchers are zeroing in on the upcoming U.S. jobs report, which could influence the Federal Reserve’s timeline for interest rate cuts—and in turn, crypto momentum.

Bitfinex analysts suggest a weaker-than-expected labor print may fuel speculation of earlier monetary easing, potentially driving Bitcoin up toward $125,000. But if job creation surprises to the upside, it could bolster the dollar and stall crypto gains, with BTC possibly slipping below $100,000.

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Ethereum Gaining Ground as Institutional Favorite for Financial Infrastructure

Meanwhile, sentiment is softening beneath the surface. BRN’s Valentin Fournier points to a surge in crypto IPO activity—like Circle’s $1B share sale and Kraken’s rumored listing—as evidence that major players are taking advantage of peak valuations. Slowing inflows into Bitcoin and Ethereum ETFs support that view, with daily allocations dropping sharply over the past week.

Prices have reflected the shift: Bitcoin is down 3.5%, Ethereum has fallen 4.3%, and Solana has plunged nearly 12%, signaling a market losing steam despite positive macro signals. For some, that’s a cue to reduce exposure and wait for stronger conviction to return. The coming jobs data may offer clarity—or deepen the sense that crypto’s recent highs were running on fumes.

Alexander Stefanov

With over 8 years of experience in the cryptocurrency and blockchain industry, Alexander is a seasoned content creator and market analyst dedicated to making digital assets more accessible and understandable. He specializes in breaking down complex crypto trends, analyzing market movements, and producing insightful content aimed at educating both newcomers and seasoned investors. Alexander has built a reputation for delivering timely and accurate analysis, while keeping a close eye on regulatory developments, emerging technologies, and macroeconomic trends that shape the future of digital finance. His work is rooted in a passion for innovation and a firm belief that widespread education is key to accelerating global crypto adoption.