Crypto Market Jitters: Job Report-Induced Panic?On September 9th, according to CoinDesk, the cryptocurrency market experienced a sudden decline following the release of Friday's job report, resulting in over $220 million in long positions liquidated. This event has sparked concerns about the future trajectory of cryptocurrencies and prompted investors to analyze current market sentiment and influencing factors
Crypto Market Jitters: Job Report-Induced Panic?
On September 9th, according to CoinDesk, the cryptocurrency market experienced a sudden decline following the release of Friday's job report, resulting in over $220 million in long positions liquidated. This event has sparked concerns about the future trajectory of cryptocurrencies and prompted investors to analyze current market sentiment and influencing factors.
PrestoResearch analysts Peter Chung and MinJung, in their latest report, argue that Bitcoin is severely undervalued. They believe recent macroeconomic factors have dominated Bitcoin price discussions, overlooking a crucial fundamental driving its value network security.
Hashrate has reached an all-time high of 679 EH/s, making it the most secure network by far, the analysts stated. They added, If you believe this trend will continue (and in fact, the advent of spot ETFs means our environment is much better than ever before) then BTC seems deeply undervalued right now.
However, market sentiment doesn't seem as optimistic as the analysts anticipate. Lucy Hu, a senior analyst at Metalpha, commented, "It appears that the lower-than-expected jobs data is currently dominating market sentiment as we've seen a broad asset decline since the Friday release." She expects the crypto market to remain highly volatile until the next Fed meeting.
Adam, a researcher at Greeks.live, also pointed out on X (formerly Twitter) that last week's macro data didn't have a significant impact. The upcoming Federal Reserve meeting on Thursday will be the focal point for the market. He believes a 25 basis point rate cut is becoming the dominant viewpoint.
The crypto market is very weak, BTC has fallen nearly 10% since September, and market confidence is now low, with the market being oversold, Adam added. The crypto market is weak, investor confidence is severely lacking, IV across all major tenors has rebounded, with short-term and medium-term IV rebounding more significantly, options trading is focused on next week's Fed meeting."
The market panic triggered by the job data release, coupled with anticipation for the Fed meeting, has significantly impacted the cryptocurrency market. Investors need to closely monitor market developments over the coming weeks and make informed investment decisions based on their individual risk tolerance.
Disclaimer: The content of this article is sourced from the internet. The copyright of the text, images, and other materials belongs to the original author. The platform reprints the materials for the purpose of conveying more information. The content of the article is for reference and learning only, and should not be used for commercial purposes. If it infringes on your legitimate rights and interests, please contact us promptly and we will handle it as soon as possible! We respect copyright and are committed to protecting it. Thank you for sharing.(Email:[email protected])
