How a weakening US labor market is putting pressure on Bitcoin and crypto prices

Bitcoin exchange-traded funds (ETFs) have commenced December with modest gains, while Ether and Solana have experienced declines in value. This shift comes after a period of significant market fluctuations, with Bitcoin stabilizing around $86,000 despite a broader market downturn that saw a $600 billion decline in November.

Bank of America has authorized its 15,000 advisers to recommend a cryptocurrency allocation of 1% to 4% for wealth clients, marking a significant shift in Wall Street's approach to Bitcoin and digital assets. This decision reflects a growing acceptance of cryptocurrencies among traditional financial institutions.

A Bitcoin miner recently won a prize of $235,000 in Bitcoin while participating in HMining, highlighting the platform's growing influence in the cloud mining sector. This achievement has drawn attention to HMining's operations and its role in the evolving cryptocurrency landscape.

The cryptocurrency market experienced a notable rebound on December 2, with Bitcoin and leading altcoins rising over 1% in the past 24 hours, pushing the total market capitalization close to $3 trillion. This recovery follows a period of volatility and significant price fluctuations in recent weeks.

Bank of America has authorized its wealth advisers to recommend a cryptocurrency allocation of up to 4% for clients, marking a significant shift in the bank's approach to digital assets. This decision allows for the inclusion of Bitcoin ETFs in wealth management strategies for the first time, reflecting a growing acceptance of cryptocurrencies among institutional investors.

Bitcoin's price has recently shown signs of instability, with momentum wavering as bears tighten their grip on the market. The cryptocurrency has seen fluctuations, with its value dropping to around $82,000, raising concerns among investors about its future performance.

Arca CIO Jeff Dorman has described the current cryptocurrency market decline as one of the strangest sell-offs ever, noting a disconnect between price movements and macroeconomic conditions. Despite traditional assets like equities and gold reaching all-time highs, cryptocurrencies continue to decline, raising questions about the underlying factors driving this trend.

Bitcoin's velocity RSI has indicated a rare bear market bottom signal as the price of BTC has fallen to $87,000, suggesting extreme oversold conditions. This development highlights a significant moment in Bitcoin's price trajectory, as it reflects investor sentiment and market dynamics during a downturn.