Bitcoin continued to hover just below $92,000 as market participants grappled with a mix of labor data, central bank anticipations, and fluctuating equity markets across Asia, Europe, and the US. Akshat Siddhant, the lead quant analyst at Mudrex, pointed out that the cryptocurrency market is demonstrating notable resilience. He noted that recent whale activity is bolstering the trend; Ethereum (ETH) whales have amassed over 450,000 ETH since mid-November, while Bitcoin (BTC) whales have exhibited similar patterns of accumulation.
Despite solid indicators from the US labor market, expectations for a rate cut this month stand at a compelling 93%. This sentiment is stoking buying pressure in the cryptocurrency market, with Siddhant suggesting that a decisive move above $96,000 could propel BTC momentum toward the coveted $100,000 milestone, potentially paving the way for new all-time highs.
In terms of market specifics, Bitcoin was priced at $92,387, down 1.2%, while Ether was slightly lower at $3,174, a decrease of 1.1%. XRP saw a more pronounced dip, dropping 4.6% to $2.09, culminating in a total crypto market capitalization of approximately $3.22 trillion, reflecting a 1.3% decline.
Across the Pacific, Japan’s financial landscape faced challenges, with the Nikkei 225 index dropping about 1.5%, effectively negating gains made earlier in the week. The broader MSCI index for Asia Pacific shares outside Japan also slipped by roughly 0.1%, although it was still on track for a modest weekly gain of about 0.5%. Fresh data indicated a sharp decline in household spending in Japan, recorded at the fastest rate in nearly two years in October due to ongoing inflation challenges. Consequently, the yield on 10-year Japanese government bonds reached 1.94%, marking the highest level since mid-2007, with a notable rise expected for the week.
The Chinese stock markets presented a mixed outlook. While the Shanghai Composite index remained nearly unchanged at 3,875, the SZSE Component in Shenzhen gained approximately 0.17%. Conversely, the China A50 index edged down by 0.17%, and Hong Kong’s Hang Seng index fell by about 0.40%.
In Europe, futures indicated a slightly optimistic tone, with DAX futures trading around 23,880, up about 0.79%. Other European indices, including the FTSE 100 and CAC 40, showed positive movement as well, reflecting an overall more supportive sentiment across the region.
In the US, stock futures appeared mixed after Wall Street’s indices closed slightly flat the previous day. Dow futures were hovering near 47,850, down 0.07%, while S&P 500 futures rose by 0.11% and Nasdaq futures gained 0.22%. Traders continued to digest a range of US data releases, including a report revealing initial jobless claims had fallen to their lowest level in more than three years. However, analysts cautioned that the Thanksgiving holiday could have distorted these figures. Concurrently, a projection from the Chicago Fed indicated that the unemployment rate remained close to 4.4% in November.
Turning to factory orders, a delayed report from the Commerce Department showed a modest increase of 0.2%, falling short of the anticipated 0.5% rise. The previously reported factory orders from August were also revised downward to show a 1.3% increase, impacted by tariffs on manufacturers. Market attention is now heavily focused on the upcoming non-farm payrolls report, which has been delayed due to an extended government shutdown. With the Federal Reserve’s crucial December meeting approaching, analysts noted the meeting appears finely balanced, with Fed funds futures indicating almost a 90% probability of a 25-basis point rate cut next Wednesday, a significant shift compared to predictions from a month ago.
