Bitcoin dropped sharply on Friday, falling below the $70,000 mark as disappointing employment data from the United States failed to support risk assets. The leading cryptocurrency was trading around $68,200, down more than 3% during early Wall Street trading hours.
Market data showed that Bitcoin had briefly attempted a breakout toward $74,000, but the rally quickly reversed as investors reacted to the latest economic figures. The decline also mirrored losses in US stock markets, reflecting broader risk-off sentiment among investors.
According to data from the US Bureau of Labor Statistics, the American economy lost 92,000 jobs in February, which was a major surprise compared to forecasts that predicted an increase of about 58,000 jobs. The unemployment rate also rose to 4.4%, indicating growing pressure on the labor market.
Economic analysts noted that this was only the second monthly job loss since the COVID-19 pandemic in 2020, suggesting that the US labor market may be weakening more quickly than expected. Normally, weaker labor data increases expectations that the Federal Reserve will cut interest rates, which can benefit risk assets such as cryptocurrencies and stocks.
However, market expectations remained largely unchanged. Data from the CME FedWatch Tool showed that investors still expect only one interest rate cut in 2026, with little chance of a reduction at the Federal Reserve’s upcoming March 18 meeting. Because of this, the weak jobs data failed to provide the bullish momentum many crypto traders had anticipated.
At the same time, traditional financial markets also declined. The S&P 500 fell about 1.5%, while the Nasdaq Composite dropped roughly 1.3%. In contrast, gold moved higher by around 1.5%, reaching approximately $5,155 per ounce, as investors sought safer assets.
Crypto analysts said Bitcoin’s recent price movement shows a pattern of failed breakout attempts. The cryptocurrency had previously pushed above its short-term trading range several times, but each attempt was followed by a sharp pullback. Traders warn that the latest move above $71,000 may have acted as a trap for late buyers before prices declined again.
Bitcoin is now testing important long-term technical levels, including the 200-week exponential moving average and price zones linked to its previous 2021 all-time high. Market participants say that if selling pressure continues, the cryptocurrency could revisit lower support levels in the near term.
