Bitcoin Price Falls Below $90,000 Amid Employment Data Concerns
The cryptocurrency market faced turbulence as Bitcoin’s price dropped below the $90,000 mark on Thursday. This decline, a sharp 2% in just 24 hours, followed a weakening early January rally. Bitcoin, while still managing to maintain over 3% weekly gains, saw its momentum hindered by broader macroeconomic challenges.
Mixed Performance Across the Cryptocurrency Market
Ethereum witnessed a daily decline of 3% but successfully retained 6% weekly gains. Meanwhile, XRP’s sharp 4.5% drop stood out among major cryptocurrencies, though the token still held onto 17% weekly gains. On the brighter side, Dogecoin shined with a staggering 22% weekly increase, solidifying its place as the week’s top-performing cryptocurrency.
Bitcoin ETF Outflows and Investor Sentiment
Adding to the uncertainty, U.S. spot Bitcoin ETFs recorded significant outflows of $486 million over two consecutive days, marking 2025’s first back-to-back losses for this category. Ethereum ETFs followed suit with $98.45 million in outflows, while XRP ETFs saw $40.8 million exit. Interestingly, Solana ETFs showed resilience with inflows of $1.97 million during the same period, signaling diversified investment patterns within the market.
Stock Market and Macroeconomic Influences on Crypto
Cryptocurrencies were not the only financial sector feeling the heat. The stock market also faced declines, with Dow and S&P 500 futures both falling 0.3% and Nasdaq 100 futures dropping 0.6%. The December jobs report, released earlier this week, revealed just 41,000 new private-sector jobs—far below the predicted 50,000—prompting investor concerns about labor market strength. As a result, the Federal Reserve rate cut speculation increased, pushing the 10-year Treasury yield down to 4.14%.
Why the Fed’s Policy Decisions Matter for Bitcoin
With weak employment data solidifying expectations for rate cuts by the Federal Reserve, market analysts note that lower interest rates historically benefit risk-on assets like Bitcoin and tech stocks. Easier monetary policy often encourages investments in speculative and high-growth areas, making Bitcoin prices inherently sensitive to these macroeconomic trends.
Key Takeaway for Cryptocurrency Enthusiasts
For those closely tracking the cryptocurrency market, macroeconomic factors and ETF purchasing behavior remain key indicators of Bitcoin’s trajectory. Market analysts from platforms like B2BINPAY suggest staying informed through real-time analysis tools for broader market sentiment and emerging trends in crypto investing.
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