The US economy added 115,000 nonfarm payrolls in April, nearly double the consensus forecast of 65,000. The unemployment rate held at 4.3%, matching expectations. Healthcare led hiring with 28,000 new positions, followed by gains in retail and leisure. Average hourly earnings rose 0.2% month-over-month, below the projected 0.3%.
Bitcoin dropped below $80,000 within minutes of the release, recovering to around $80,200 as traders recalibrated. Total liquidations over the 24-hour period exceeded $341 million. Options expirations in Bitcoin and Ethereum were projected to exceed $2 billion, adding further volatility.
The headline number signals economic resilience, reducing near-term odds of a Federal Reserve rate cut. However, the modest wage gain suggests labor tightness is not fueling runaway inflation. Initial jobless claims came in at 207,000, below the expected 215,000. Consumer sentiment declined while inflation expectations eased.
Higher Treasury yields and a firmer dollar are typical following strong jobs data, both acting as headwinds for digital assets. The $341 million in liquidations underscores how quickly capital reallocates. Still, slower wage growth and moderating inflation expectations leave room for the Fed to cut rates later this year. Ongoing geopolitical tensions add further uncertainty to risk asset pricing.