Bitcoin and Crypto Market Overview

• Bitcoin rose by 0.6% to $114,268.8, steadying after logging steep losses in the past week.
• Broader crypto prices showed marginal gains, attempting to recover from last week’s risk-off sentiment, with profit-taking still in play.

Key Drivers:

1. Soft U.S. Economic Data:
   • Bitcoin and broader markets were rattled by soft U.S. payrolls data for July, which was substantially weaker than expected. The poor data raised concerns about a cooling U.S. economy.
   • A downward revision in previous jobs growth and the firing of Bureau of Labor Statistics Head Erika McEntarfer by President Trump added uncertainty, affecting market sentiment.
2. Trade Tariffs:
   • President Trump’s looming trade tariffs on major trading partners, set to take effect this week, fueled further economic uncertainty, which in turn influenced risk-driven assets like Bitcoin.
3. Interest Rate Cuts:
   • The weak jobs data led to speculation that the Federal Reserve might cut interest rates, which could benefit Bitcoin in the long term as lower rates typically make non-yielding assets more attractive.
4. Corporate Bitcoin Purchases:
   • Metaplanet Inc purchased an additional 463 Bitcoin, bringing its total holdings to 17,595 coins. The move highlights continued corporate interest in Bitcoin despite broader market uncertainty.

Altcoins Performance:

• Ether (ETH) rose 2.4% to $3,527.01, attempting a recovery from last week’s 9% to 13% decline.
• XRP gained nearly 5% to $2.9712.
• Solana (SOL) rose 0.8%, and Cardano (ADA) added 2.4%.
• Among meme coins, Dogecoin gained 2%, while $TRUMP rose 1.6%.

While Bitcoin and altcoins faced headwinds from economic concerns and trade uncertainties, the long-term bullish potential remains intact due to lower interest rates and continued corporate interest in Bitcoin. The next few days, marked by Fed decisions and trade tariffs, will be crucial in shaping sentiment across markets.