Key TakeawaysBTC reached $65,340 on August 7, marking the highest price point of the month with a daily increase of 1.3%July nonfarm payrolls declined by 23,000, representing the first job loss on a monthly basis since FebruaryProbability of a September Fed rate increase fell from 55% to 42% following the employment reportSpot Bitcoin ETFs in the United States saw $98.85M in net positive flows, extending the streak to five daysQCP Capital characterized the week’s cryptocurrency market behavior as demonstrating “resilience”Bitcoin surged to its August peak on Friday following disappointing US employment statistics that altered market expectations regarding Federal Reserve monetary policy decisions.Bitcoin (BTC) PriceAccording to TradingView data, BTC/USD touched $65,340 on the Bitstamp exchange, representing a 1.3% increase during the trading session. Bitcoin was positioned to close the week with gains exceeding 3%.The rally followed the US Bureau of Labor Statistics’ announcement that nonfarm payrolls decreased by 23,000 during July. This figure significantly underperformed the consensus forecast of an 85,000 job addition. The decline represented the first negative monthly employment change since February.BREAKING: The US economy unexpectedly loses -23,000 jobs in July, well below expectations of +85,000.The unemployment rate fell to 4.1%, below expectations of 4.2%.June's jobs number was also revised down by -37,000 jobs.This marks the 3rd biggest monthly job loss since the…— The Kobeissi Letter (@KobeissiLetter) August 7, 2026The unemployment rate experienced a modest decline to 4.1% compared to June’s 4.2% reading.Compounding the weaker-than-expected headline figure, employment data for May and June underwent downward revisions totaling 103,000 positions. These adjustments reinforced perceptions that labor market conditions are deteriorating faster than earlier assessments indicated.Federal Reserve Rate Expectations Adjust Following Employment DataFinancial markets responded swiftly to the employment report. Data from the CME FedWatch Tool showed that the probability of a 0.25% rate increase at the Fed’s September policy meeting dropped from 55% on the previous day to approximately 42% after the data release.As the trading session progressed, market expectations shifted toward the Fed maintaining current interest rates in September.JPMorgan’s chief US economist Michael Feroli commented that the employment figures should “marginally lower the chances of a hike at the next meeting.” He emphasized that upcoming inflation data over the next two months would carry greater weight in the Fed’s policy determination.The S&P 500 opened 0.5% higher following the announcement. The Nasdaq registered gains just above 1%.Market analyst Daan Crypto Trades shared on X that Bitcoin’s Bull Market Support Band and the Weekly 200 EMA have converged around the $69,000 level. He suggested that a weekly close in the 70K range from this position would serve as a powerful market indicator, adding that the ongoing consolidation pattern would ultimately result in a “large break from compression.”$BTC Now has its Bull Market Support band and Weekly 200EMA line up perfectly at the $69K area.If price were to test that, it will be a big test and any closes into the 70Ks and the market is so back.Below, bitcoin has been hanging onto its Weekly 200MA with marginally higher… pic.twitter.com/gQzZJ0XLWU— Daan Crypto Trades (@DaanCrypto) August 7, 2026ETF Inflows Maintain Positive MomentumUS spot Bitcoin ETFs registered $98.85 million in net positive flows on August 7, based on SoSoValue data referenced by Wu Blockchain on X. This represented the fifth consecutive trading session with net inflows for US spot Bitcoin products. US spot Ether ETFs similarly attracted $49.60 million in fresh capital, marking their fourth straight day of positive flows.U.S. Spot Bitcoin ETFs Record $98.85M in Net Inflows, Extend Streak to Five DaysAccording to SoSoValue data, U.S. spot Bitcoin ETFs recorded $98.85 million in net inflows on August 7 (ET), marking a fifth consecutive trading day of net inflows. U.S. spot Ether ETFs also saw… pic.twitter.com/QCYOZWFTdm— Wu Blockchain (@WuBlockchain) August 8, 2026QCP Capital, a trading firm, characterized the cryptocurrency market’s performance during the week as demonstrating “resilience rather than clear directional confirmation.” The firm observed that events such as the Coldcard wallet security breach and Bitcoin sales by entities including Strategy generated only limited concern in options markets.Throughout the week, Bitcoin primarily traded within a $62,000 to $65,000 corridor, with the $65,340 peak marking the upper boundary of this range.The post Bitcoin (BTC) Surges Past $65K as Weak Employment Data Fuels Rally appeared first on Blockonomi.