Cryptocurrencies edged higher on Oct 5, with Bitcoin and Ethereum gaining ground as softer US labour data strengthened expectations that the Federal Reserve (Fed) could hold interest rates steady later this month.
Bitcoin rose about 0.4% to US$85,379, while Ethereum gained roughly 0.5% to US$2,704 in early Asian trade. Bitcoin had briefly climbed above US$87,000 following Oct 2’s US jobs report before paring its gains over the weekend.
Sentiment improved after the US economy added just 29,000 jobs in September, well below expectations, prompting traders to sharply reduce bets on another Fed rate increase in October. A weaker US dollar and some stabilisation in Treasury yields also supported demand for risk assets.
The advance remained measured, however, as elevated longer-term bond yields and oil prices above US$100 a barrel continued to temper appetite for cryptocurrencies and other risk-sensitive assets.
