Bitcoin’s Wild Ride: Jobs Suck, Bulls Cry, and Everyone’s Holding Their Breath

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Key takeaways:

  • Bitcoin skyrocketed toward $113,000 like a caffeinated squirrel before reality (and bad US jobs data) slapped it back down.

  • Stablecoins flooded in like they were on a Black Friday sale, pushing $2 billion into exchanges-because nothing screams confidence like parking your money in digital cash equivalents.

  • Bitcoin needs to close the week above $112,500, or it’s just playing hard to get with a market bottom.

Bitcoin (BTC) strutted its stuff this week, jumping about 4.75% from $109,250 to a tantalizing $113,384. That’s right-crypto enthusiasts collectively held their breath into the US Nonfarm Payrolls (NFP) announcement, like it was the finale of their favorite Netflix drama.

Then came the news: only 22,000 new jobs in August, when the economy was supposed to add 75,000. July’s 73,000 didn’t get a consolation prize either. Unemployment nudged up to 4.3% (because, why not?), and wage growth slowed to 3.7% year-over-year. So basically, the jobs report was the financial equivalent of your least favorite uncle at Thanksgiving-disappointing and awkward.

For Bitcoin, this labor market meltdown is actually a kind of love letter. If workers aren’t getting hired, the Federal Reserve might finally quit playing hard-to-get and cut rates, potentially flooding the system with liquidity. And when the Fed loosens its grip, the dollar weakens, making crypto the party everyone’s crashing.

In fact, the smart money was already on the dance floor the day before, with stablecoin inflows into exchanges ballooning past $2 billion-like folks simultaneously trying to find the best seat at a concert.

This “dry powder,” as Wall Street calls it (fancy phrase for “cash waiting to blow up”), usually means traders are gearing up for Bitcoin and Ethereum to blast off once the right spark hits. Meanwhile, Bitcoin’s open interest hovered above $80 billion, near record highs. So even though the price was hanging out around $110,000 trying not to freak anyone out, lots of folks were gambling with borrowed money.

Put it all together and you’ve got the perfect recipe for volatility with a pinch of optimism. Liquidity flows are ready, market sentiment wavers between “go big or go home,” and Bitcoin looks poised to carve out a bottom-though it may well throw a tantrum on the way up.

Is the Bitcoin bottom in?

After the meh jobs numbers hit, Bitcoin flirted with new highs but then pulled a classic “game of cat and mouse,” sliding 1.5% after New York opened. It dropped back under $111,000 like a wallflower retreating from the dance floor after a bad pickup line.

These sudden dips aren’t just Bitcoin being dramatic-they’re often the result of traders’ “early long liquidations,” involving over $63 million vanishing into digital thin air in just four hours, plus the smug market makers who thrive on hunting stops and resetting the trend like some Wall Street Sergio Leone showdown.

On the one-hour chart, though, Bitcoin’s doing a decent job pretending to be an uptrend-making higher highs and higher lows like a Vegas showgirl on a caffeine binge. Unless it crashes below $109,500, this dip looks more like a liquidity sweep than a true trend reversal. So, keep the faith (or at least your fingers crossed).

Zoom out to the weekly view, and things get a little messier. With two days left before things settle, calling the bottom confirmed would be as rash as predicting your in-laws will suddenly be chill this holiday. A solid close above $112,500 would boost confidence that Bitcoin has found its basement somewhere near $107,500.

Until then, the market’s stuck in that awkward “maybe, maybe not” stage-teetering between hopeful macro vibes and the not-so-hopeful reality of supply pressures. For now, Bitcoin’s short-term bias is still “buy the dip,” but the final nod depends on that weekly close. So, everyone buckle up-this roller coaster isn’t over, and you might want to hold onto something stronger than your portfolio.

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2025-09-05 22:33