Bitcoin Set for Record Second-Quarter Price Drop
Bitcoin's second-quarter decline looks like a technical pullback, one observer said.
The U.S. unemployment rate fell to 5.4%, a post-pandemic low, from 5.9% in June, according to the U.S. Labor Department's Bureau of Labor Statistics.
Financial markets from stocks to bonds to cryptocurrencies have been fixated on inflation readings as the economy reheats.
"Historically, Fed taper has been a headwind for bitcoin," one fund manager said.
Analysts described the muted activity in spot, derivative and on-chain metrics as "calm before the storm."
Reflation bets are those that benefit from a pickup in economic growth and inflation.