Bitcoin News Today: Bitcoin Tumbles 3% to $112.6K Amid Weak U.S. Jobs Data and Market Uncertainty

Bitcoin’s price has shown conflicting signals in recent days, with daily trends dipping but intraday movements hinting at potential recovery. On August 2, the cryptocurrency fell 3% to $112.6K, contributing to a broader crypto market loss of $128 billion [1]. This decline came after a bearish pullback from recent highs near $123K, with traders closely monitoring key support levels amid ongoing uncertainty in macroeconomic conditions.

The release of the U.S. jobs report on August 1 had a significant impact on market sentiment. The July data showed the addition of only 73,000 jobs, well below the expected 106,000, and included downward revisions for May and June [2]. These figures fueled speculation about a potential Federal Reserve dovish pivot and increased the probability of a September rate cut to 80% according to CME Fed Watch [2]. Historical correlations suggest that such expectations have often led to bullish movements in Bitcoin, as was the case in September 2024 when a 50 bps rate cut triggered a sharp BTC rally.

Despite these positive macroeconomic signals, Bitcoin failed to fully capitalize on them, falling to $112.7K as of August 2 [2]. Analysts have offered mixed interpretations of the move. Tom Lee from FundStrat described the drop as a “normal dip,” a temporary reset before the next upward phase. In contrast, Arthur Hayes, founder of BitMEX, has reduced his positions in Ethereum and Ethena, warning that potential U.S. tariff hikes in Q3 could further disrupt markets [2].

On-chain data also points to a phase of consolidation. According to CryptoQuant, the market is currently in a period of “cyclical cooling” after the third wave of profit-taking, with declining U.S. investor demand and a possible sideways trend expected in the coming months [2]. A key level to watch is $114.5K, which could act as short-term resistance for Bitcoin. A breakout above this level might indicate renewed bullish momentum [4].

Other major cryptocurrencies also experienced declines during the same period. Ethereum dropped 6.9% to $3,000, raising concerns about the broader altcoin market [1]. Dogecoin (DOGE) fell to $0.21 amid increased volatility, with large investors showing signs of accumulation [6]. The RSI indicator for DOGE currently stands at 41.14, suggesting neutral to oversold conditions, which may precede a rebound [5].

The market is now looking ahead to upcoming macroeconomic releases on August 7 and 12 for further clarity on U.S. labor and inflation data. These reports could shape the trajectory of Fed policy and, by extension, Bitcoin’s price movement. As traders await new data, the broader crypto market remains in a state of uncertainty, with sideways consolidation likely to persist before the next directional move [2].

Sources:

[1] Bitcoin Falls 3% to $112.6K as Global Crypto Market Sheds $128 Billion – FXLeaders (https://www.fxleaders.com/news/2025/08/02/bitcoin-falls-3-to-112-6k-as-global-crypto-market-sheds-128-billion/)

[2] Can Bitcoin's Bull Run Hold as U.S. Jobs Data Fuels Rate Cut – 富途牛牛 (https://news.futunn.com/post/60019530/can-bitcoin-s-bull-run-hold-as-us-jobs-data)

[4] Litecoin Drifts Sideways—Intraday Action Tied To BTC Pulse – Mitrade (https://www.mitrade.com/insights/news/live-news/article-3-1007667-20250803)

[5] Dogecoin (DOGE) Drops to $0.20 as Institutional Accumulation Signals Mixed – Blockchain News (https://blockchain.news/news/20250803-dogecoin-doge-drops-to-020-as-institutional-accumulation-signals-mixed)

[6] DOGE Price Falls 8% to $0.21 as Large Investors Buy the Dip – The Currency Analytics (https://thecurrencyanalytics.com/altcoins/doge-price-drops-8-to-0-21-but-large-investors-may-be-accumulating-188335)