US Jobs Report Causes Crypto Market to Dip, Bitcoin, Ethereum Drops

In a positive sign for the labor market, the U.S. private payrolls for June surpassed expectations, indicating strength despite concerns of a potential recession due to rising interest rates, Reuters reported. Following the release of the ADP report, the crypto market experienced a downturn with major cryptocurrencies like Bitcoin (BTC) and Ethereum (ETH) witnessing declines.

Crypto Market Post ADP Report

The ADP National Employment report released on Thursday revealed a significant surge of 497,000 jobs in the private sector, exceeding economists’ predictions of a 228,000 increase. However, May’s figures were revised downward to show 267,000 jobs added instead of the previously reported 278,000.

After the release of the ADP National Employment report, the crypto market experienced slight declines. Bitcoin (BTC) fell by 1.21% to reach a price of $30,544.90, while Ethereum (ETH) dropped by 1.17% to reach $1,902.00. These minor downturns reflect the market’s response to the report’s findings. Higher-than-expected US jobs data may indicate a potential increase in interest rates by the US Federal Reserve.

Just a few hours ago, Bitcoin (BTC) achieved a significant milestone by reaching a new all-time high of $31,141.54 for this year.

“Consumer-facing service industries had a strong June, aligning to push job creation higher than expected. But wage growth continues to ebb in these same industries, and hiring likely is cresting after a late-cycle surge.”

– Nela Richardson, Chief Economist, ADP

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About ADP Report

The ADP report, developed in collaboration with the Stanford Digital Economy Lab, provides an early glimpse into the labor market before the more comprehensive employment report from the Bureau of Labor Statistics, which is scheduled for release on Friday.

It’s worth noting that immediately after the release of the ADP report, the Dollar Index saw a 0.3% rise, recovering a significant portion of its earlier losses.

Looking ahead, the next ADP National Employment Report for July 2023 is set to be released on August 2, 2023, at 8:15 a.m. ET.

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