Question n° 305 ·
Why did the release of U.S. employment data showing 119,000 new jobs trigger a sell-off in Bitcoin?
- Strong jobs data means the economy is weak, so investors fled to safer Bitcoin holdings
- Adding 119 000 new jobs strengthened expectations of continued high Fed rates, prompting risk-averse investors to sell Bitcoin Bonne réponse
- More jobs always lead to crypto buying frenzies, so the sell-off was unrelated
Pourquoi est-ce la bonne réponse?
This is correct because when the labor market stays strong, the Federal Reserve is less likely to cut interest rates. Higher rates make risk assets like Bitcoin less attractive, so investors often sell when they expect monetary policy to remain tight.