On-chain analysis firm Hupzy (formerly Spot On Chain) analyzed that while the possibility of a Fed rate hike in September plummeted from 70% to 40% due to a 23,000 decrease in U.S. non-farm employment in July, the deteriorating job market could limit Bitcoin's upside. Citing data from Kobayashiletter, Hupzy explained, "July employment fell short of market expectations of an 85,000 increase by 108,000, marking the third largest monthly employment decline since the COVID-19 pandemic in 2020. June's figures were also revised downwards by 37,000." It added, "While the decrease in the likelihood of a rate hike itself is a positive for risk assets, the economic weakening that triggered it is a risk-averse factor. We need to monitor whether the employment decline continues next month."
