Bitcoin Under Pressure as Investors Seek Safety in Bonds

Bitcoin (BTC) faces headwinds as investors shift their focus towards government bonds, drawn to their perceived safety amid economic uncertainty. Disappointing U.S. labor market data fueled this trend, pushing gold to a record high and casting doubt on Bitcoin’s ability to sustain its recent price surge. While stock markets reacted positively to expectations of a Federal Reserve interest rate cut, cryptocurrencies experienced renewed pressure, with BTC briefly dipping below $110,000. The shift in investor sentiment is driven by growing recession fears and the potential for further rate cuts by the Federal Reserve.