NFP, or non-farm payrolls, is a key economic indicator released monthly by the US Bureau of Labor Statistics. It measures the change in the number of people employed in the US economy, excluding the farming sector.
The impact of NFP on Bitcoin is two-fold. First, it affects the US dollar, which is the main currency used to buy Bitcoin.
When the US economy is doing well, the dollar tends to strengthen, making Bitcoin more expensive. Conversely, when the US economy is struggling, the dollar weakens, making Bitcoin cheaper.
Second, NFP also affects investor confidence. When jobs are being created and the economy is growing, investors are more likely to take risks and invest in assets like Bitcoin.
However, when the economy is struggling and jobs are being lost, investors tend to become more risk-averse and pull back on investments like Bitcoin.
Overall, NFP has a significant impact on Bitcoin prices. When the US economy is doing well, Bitcoin tends to be more expensive.
However, when the economy is struggling, Bitcoin becomes cheaper. Investor confidence also plays a role in determining how much people are willing to pay for Bitcoin.