Overnight, signals of weakness emerged in the US labor market, with non-farm employment increasing by only 110,000 in December, well below the expected 170,000, and the unemployment rate rising to 4.3%. This data instantly reversed market expectations—the consensus now is that the Federal Reserve will cut interest rates by 25 basis points at the January end meeting. The US dollar index fell accordingly, and risk assets rebounded across the board.

Bitcoin's price movement was particularly impressive. Boosted by the non-farm data, BTC surged overnight, briefly breaking through $89,500, just a step away from the $90,000 mark. Although it slightly retreated to $88,900 by the close due to profit-taking alongside US stocks, this did not change the strong weekly closing pattern, completely reversing the downturn during the year-end period.

Institutional funds have already begun to deploy. BlackRock's IBIT saw a single-day net inflow of $420 million, hitting a new high for the month. Leading institutions like BlackRock and Fidelity accelerated their buying after the non-farm data was released, clearly preparing for next week's "rate cut trade." MicroStrategy's stock price, after three consecutive days of decline, also stabilized and rebounded by 5%, with options market data indicating some short positions are being closed.

Hot money has also sensed the opportunity. Trading volume of Meme coins on Solana and Base chains surged, with AI concepts leading the gains. Ecosystem tokens like VIRTUAL generally rose over 20% overnight, as the market speculates on the release of OpenAI's new model in 2026. Meanwhile, comments from the CEO of a major exchange also stirred the market—policies to clean up "zombie coins" triggered panic selling of some old altcoins, with declines of 10%-20%.