Bitcoin Surges Near $64K As Weak Jobs Data Shakes Rate Bets

Bitcoin (BTC) jumped near $64,000 on Jul. 6 as forced short covering extended a sharp rebound from its July low.

Key Points:

Bitcoin Rally

Bitcoin rose to $63,900 in the early hours of Jul. 6, after a weekend advance turned into a broader squeeze across crypto derivatives.

The move completed a fast reversal from the $58,293 low reached on Jul. 1.

The rally followed Thursday’s U.S. Nonfarm Payrolls report, which showed the economy added 57,000 jobs in June, below forecasts and enough to weaken expectations for a near-term Federal Reserve rate hike.

Bitcoin had already gained ground earlier in the week after comments on inflation risk from Kevin Warsh, while lower Treasury yields and a softer dollar also helped risk assets recover.

Spot Bitcoin exchange-traded funds added another tailwind after inflows snapped a 10-session redemption streak, though the products are still trying to recover from June outflows of $4.5B.

Also Read: Bitcoin ETFs Bleed $527M As Record 8-Week Outflow Streak Deepens

BTC Squeeze

Short sellers were hit as Bitcoin cleared $62,000, with more than $450M in bearish derivatives positions liquidated across the market.

Those liquidations helped fuel the next leg higher because forced buybacks can push prices into nearby stop levels, adding speed to a move that began with macro pressure easing.

Ether (ETH) rose about 4% on the day and roughly 10% for the week, while Solana (SOL) gained nearly 19%, the strongest move among major tokens.

The rebound still lacks full confirmation from institutional flows because ETF demand remains uneven after the worst month on record for U.S. spot Bitcoin funds. That backdrop matters because short squeezes can create violent rallies without proving that long-term buyers have returned.

Bitcoin entered July under pressure after a bearish June, and the Jul. 1 low near $58,293 became the level that framed the latest reversal, making this week’s move a test of whether the market can build demand above forced covering.

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