Toncoin (TON), Render Token (RNDR), and Avalanche (AVAX) prices remained under pressure on Friday morning as a sense of fear spread in the market. The TON token retreated by 2% to $6.65, while Render was down by over 7% to $5.35, and AVAX fell to $25.
NFP data’s impact on Toncoin, RNDR, and AVAX
The Federal Reserve, US polls, and big tech earnings were the biggest catalysts for the financial market this week. In its interest rate decision on Wednesday, the Fed left interest rates unchanged between 5.25% and 5.50%, their highest point since 2023.
Jerome Powell and his team noted that the bank may consider interest rate cuts in its September meeting if the labor market continued softening.
Most analysts believe that the Fed will implement these cuts. Besides, the Bank of England (BoE), European Central Bank (ECB), and the Bank of Canada (BoC) have started slashing their rates.
The Fed has also insisted that it is now more focused on the labor market, which has shown some softening, with the jobless rate rising to $4.1%.
The Bureau of Labor Statistics (BLS) will publish its jobs report on Friday, impacting Bitcoin and tokens like Render, AVAX, and Toncoin. Economists expect the data to show that the economy added over 170k jobs while the unemployment rate rose to 4.1%.
Based on the other jobs data released this week, the US data may miss estimates. In its report on Wednesday, ADP noted that the private sector created just 122,000 jobs.
According to the BLS, jobless rate claims rose to the highest point since August last year while vacancies dropped to 2021 lows. The jobs section of the manufacturing ISM data fell to pandemic lows.
Therefore, weak NFP data could be good news for cryptocurrencies like Bitcoin, Avalanche, and Render since they will confirm the hopes of a Federal Reserve rate cut.
Kamala Harris could beat Donald Trump
Meanwhile, these tokens will have additional catalysts. First, there are rising odds that Kamala Harris will beat Donald Trump. Predictit gives her a 53% chance, while recent polling data shows that she has closed the gap in swing states. Trump has been seen as the most crypto-friendly candidate.
Cryptocurrencies will also mirror the performance in the stock market, where the sell-off is intensifying. The Dow Jones slumped by over 500 points on Thursday, while the Nasdaq 100 index fell by 400 points.
This trend continued globally, with the Hang Seng and Nikkei 225 falling by 2% and 5% on Friday. In some cases, crypto has a close correlation with stocks.
