Weak US Job Data Sets Stage for Bitcoin Rally Above $110K
Bitcoin price has consolidated above the $110,000 mark despite weaker-than-expected US Nonfarm Payrolls (NFP) data, suggesting a potential trigger for the next bullish wave. According to XWIN Research Japan via CryptoQuant, rising unemployment paradoxically aligns with risk asset rallies as traders anticipate Federal Reserve rate cuts. On-chain stablecoin reserves on exchanges climbed from $30 billion to over $58 billion, while depositing addresses surged toward 40,000 BTC. This accumulation across whales and retail investors signals market positioning ahead of an easier monetary policy. With capital parked in stablecoins and historically correlated patterns pointing to fresh highs, weak job data could catalyze stronger demand for Bitcoin. Traders should watch stablecoin flows, Fed commentary, and price action around support at $110,000 for clues to a sustained rally.
Bullish
The categorization is bullish because weak US payrolls historically fuel expectations of Fed rate cuts, driving capital into risk assets like Bitcoin. XWIN Research’s data shows stablecoin reserves on exchanges rising to $58.5 billion and deposit addresses nearing 40,000 BTC, indicating broad accumulation. Similar patterns in late 2024 and mid-2025 preceded major Bitcoin rallies. In the short term, traders will likely view dips near $110,000 as buying opportunities. Over the longer term, easier monetary policy and abundant stablecoin liquidity can sustain upward momentum, positioning Bitcoin for fresh highs.