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Grayscale Research: Bitcoin could reach new highs in Q1 despite labor market weakness.

The market has already priced in a less accommodative interest rate policy, and legislative tailwinds could assist Bitcoin's performance.

Bitcoin could reach new all-time highs in the first quarter of 2025 despite slower-than-expected hiring in the U.S. in January, said Zach Pandl, head of research at Grayscale, to Cointelegraph.

On February 7, U.S. officials reported that the country's economy added 143,000 jobs in January, slightly below forecasts.

"Bitcoin is likely to take today's jobs report in stride," Pandl said on February 7. According to him, the report could "reinforce expectations that the Fed will remain on pause for a while, but it is unlikely to result in a significant reassessment."

Meanwhile, "Bitcoin and other crypto assets are benefiting from a variety of policy-related tailwinds," including advancements in stablecoin legislation, he noted. Stablecoins are digital tokens linked to a fiat currency, usually the U.S. dollar.

As a result, Pandl said he expects that "the cryptocurrency market will operate with an upward trend."