According to Cointelegraph, Bitcoin (BTC) experienced a notable increase, reaching $108,000 at the Wall Street opening on July 2, 2025. This surge followed a significant decline in U.S. private-sector employment numbers, which fell by over 4% in June, marking the largest drop since March 2023. The unexpected decrease in payrolls, reported by Automatic Data Processing (ADP), showed a reduction of 33,000 jobs, contrary to the anticipated increase of nearly 100,000. ADP's chief economist, Nela Richardson, noted that while layoffs remain uncommon, there is a noticeable hesitancy to hire and replace departing workers, contributing to the job losses. Despite this, the slowdown in hiring has not yet affected pay growth.
The labor market's weakness has led to optimism among crypto market analysts, who believe it increases the likelihood of the Federal Reserve implementing interest-rate cuts sooner than expected. Such cuts are seen as potential liquidity boosters for Bitcoin, altcoins, and other risk assets. Andre Dragosch, European Head of Research at Bitwise, suggested that rate cuts could occur as early as July. Meanwhile, U.S. President Donald Trump has been vocal in his push for rate reductions, advocating for a decrease to 1% or lower. Despite these developments, the CME Group’s FedWatch Tool indicates that market sentiment remains unchanged, with the September meeting still anticipated as the most likely time for the next rate cut.
In the cryptocurrency market, traders have been closely monitoring exchange order-book liquidity. The rise to $108,000 has begun to liquidate a significant number of short positions, as revealed by data from CoinGlass. Prior to this event, the commentator known as TheKingfisher identified $108,000 as a key "magnet" for the spot price, suggesting that a break above $107,000 could lead to a stronger upward momentum. Analyst Matthew Hyland described the recent BTC price movements as a "liquidity grab," with short positions now facing challenges. Despite predictions of potential new all-time highs in July, $108,000 remains a local resistance level for BTC/USD. Readers are reminded that this article does not offer investment advice, and all trading decisions should be made based on individual research and risk assessment.
