The labor market is clearly weakening. That’s negative for economic growth and risk assets in the short term, even though it strengthens the case for future interest-rate cuts.
This is where it gets tricky 👇
All eyes now shift to Thursday’s CPI data.
📉 If CPI comes in LOWER than expected: • Rate-cut expectations strengthen • Risk assets may get relief • Crypto could see a short-term bounce
📈 If CPI comes in HOTTER than expected: • The Fed is cornered • They can’t fight inflation and protect jobs together • Higher CPI + rising unemployment is the worst mix • Risk assets may face sharp downside pressure
If CPI surprises to the upside, expect volatility to spike.
The broader crypto market remains under pressure today as bearish sentiment continues to dominate. Market Snapshot 👇 • $BTC slips below the ~$86K level amid broad selling • $ETH and major altcoins trade lower • $XRP shows notable weakness, trading below key levels • Largest Bitcoin & Ether ETF outflows since late November are adding to downside pressure Despite the pullback, BTC is still trading closer to $90K than to deeper supports from prior months. 💼 Institutional & Regulatory Developments • 🇬🇧 UK’s FCA proposes new crypto regulations, covering listings, market conduct, and transparency. Consultation runs through early 2026 and could shape crypto operations across Europe. • Cathie Wood’s ARK Invest buys the dip, adding exposure to crypto-linked stocks like Coinbase, signaling long-term conviction. • JPMorgan launches a tokenized money-market fund on Ethereum — a major TradFi step into on-chain finance. 📊 Broader View: Crypto-related equities are also under pressure as risk-off sentiment extends across digital assets. ⚠️ Expect continued volatility. Not financial advice. Do your own research. Is this just a healthy pullback, or the start of a deeper correction? 👀 #BinanceAlphaAlert #news