Recently, the US November non-farm payroll data was released, with the unemployment rate unexpectedly rising to 4.6%, higher than the market expectation of 4.4%. At first glance, this seems like negative data, but for the market concerned with rate cuts, it is actually a positive signal.

The key point is that the Federal Reserve's most closely monitored indicator right now is the employment market condition. The rising unemployment rate indicates an economic slowdown, but this gives the Fed a reason to continue cutting interest rates. Slowing inflation pressures + weakening employment = room for rate cuts. This is usually friendly to the crypto market because a loose monetary environment tends to boost the valuation of risk assets.

From another perspective, bad economic data often becomes good liquidity data, which is exactly what investors need to pay close attention to next. Every policy adjustment by the Federal Reserve could reshape market expectations.