On March 8, Bitcoin reached fresh all-time highs as the argument for interest rate reductions was strengthened by the US unemployment rate.
Following strong BTC price movement, Cointelegraph Markets Pro and TradingView data showed that bulls drove the market into price discovery, reaching $70,184 on Bitstamp.
The biggest cryptocurrency increased in value after the most recent jobless data from the United States revealed that unemployment in February exceeded predictions, a sign that tight economic policy was reducing inflationary pressures.
The country’s unemployment rate was 3.9%, 0.2% more than anticipated, while the number of new jobs in January was lowered down.
“The market’s reaction to this so far has been sending stocks higher,” trading resource The Kobeissi Letter wrote in part of a reaction on X (formerly Twitter).
“This is largely due to the jump in the unemployment rate and large downward revisions.”
Bitcoin and altcoins followed equities in a risk-asset revival, with $70,000 hitting for the first time ever.
Popular market participants, who commented on the events that were transpiring, emphasized the importance of the new highs’ timing—they came only before a half of block subsidies.
Consequently, it is possible that BTC/USD will reach a macro cycle top earlier than anticipated.
“Bitcoin is doing what it has not done in history,” one such X post from Mikybull Crypto read.
“Cycle top is coming faster than what people projected.”
With the publication, the U.S. dollar index (DXY) dropped to almost its lowest points in the last two months, bottoming at 102.36 and losing about 5% against its year-to-date highs.
Market expectations are still aggressive for the Federal Reserve’s upcoming decision on whether to reduce interest rates, which is scheduled for March 20.
The likelihood of an upcoming decrease is only 3%, according to the most recent projections from CME Group’s FedWatchTool.
Fed officials, including Chair Jerome Powell in his scheduled appearance, have remained cautious in their rhetoric regarding the timing of future policies throughout the week.