Bitcoin briefly surpassed $86,000, defying the typically adverse impact of a strong U.S. dollar, which reached a six-month high after U.S. employment data exceeded expectations. The non-farm payroll report revealed 119,000 new jobs, significantly above the anticipated 53,000. Despite the dollar's strength, Bitcoin's rise was bolstered by shifting expectations for a Federal Reserve rate cut, with New York Fed President John Williams emphasizing labor market risks over inflation.
The probability of a December rate cut increased to 78.9%, although Boston Fed President Susan Collins remains undecided, reflecting internal divisions within the Fed. Analysts caution that Bitcoin's rally might be a technical rebound rather than a sign of robust fundamentals, potentially preceding a longer-term correction.
Bitcoin Surges Past $86,000 Despite Strong Dollar and Fed Uncertainty
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