Bitcoin briefly tops $70K, a new record, after jobs data (Cryptocurrency:BTC-USD)

Bitcoin (BTC-USD) surged to a new record high in Friday morning trading after the February jobs report strengthened bets the Federal Reserve will start interest-rate reductions in June.

The largest cryptocurrency by market cap (BTC-USD) rose to as high as $70.1K, surpassing the previous record high of $69.1K reached early this week, before paring gains to $68.2K at 10:41 a.m. ET, Other major digital tokens followed suit, with ether (ETH-USD) ascending 4.3% to $3.97K, trailing the November 2021 all-time high of $4.81K.

The U.S. Labor Department’s jobs data were mixed. Nonfarm payrolls rose past the consensus, but the unemployment rate unexpectedly advanced and wage gains moderated, reviving hopes the central bank will be able to achieve a soft landing.

Fed funds futures traders largely see the Fed pivot starting in June, with a 57.3% probability of a 25 basis point rate cut and a 23.3% chance of holding rates steady (vs. 57.1% and 25.8% a day before, respectively), according to CME’s FedWatch tool. In the two policy meetings before that, the rate-setting Federal Open Market Committee is expected to leave rates unchanged at 5.25%-5.50%.

The renewed rally in crypto prices helped pull up crypto-related stocks. MicroStrategy (MSTR), the largest corporate holder of BTC, climbed 7%, Coinbase (COIN), which Goldman recently upgraded, gained 7.7%, and BTC miners Riot Platforms (RIOT) and Marathon Digital (MARA) rose 5.9% and 11.7%, respectively.