BTC Falls to $68K After US Jobs Miss: 92K Lost in Feb 2026

What Happened

Bitcoin is trading at $67,998 as of March 6, 2026, representing a 3.99% decline over the last 24 hours. The premier digital asset failed to hold the psychological $70,000 level, tumbling to an intraday low of $68,176 on Bitstamp immediately following a disastrous U.S. labor report.

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The Bureau of Labor Statistics revealed on March 6 that the U.S. economy lost 92,000 jobs in February 2026, a stark contrast to the predicted gain of 58,000. This marks the second monthly job loss since the 2020 pandemic, signaling a potential recessionary turn. Consequently, the unemployment rate ticked up to 4.4%.

Institutional capital reacted swiftly. U.S. spot Bitcoin ETFs recorded a net outflow of $228 million on March 6, snapping a three-day streak of inflows, according to data from KuCoin. The leverage flush was equally severe, with total crypto market liquidations reaching approximately $252 million in the 24-hour period leading up to the report, wiping out $167.5 million in long positions as reported by Crypto.news.

Background

Typically, weak economic data supports risk assets like Bitcoin under the "bad news is good news" paradigm, as it encourages the Federal Reserve to cut interest rates and inject liquidity. However, the severity of the February miss—a 148,000-job deviation from consensus—has shifted the narrative from "monetary easing" to "hard landing."

The Kobeissi Letter noted that the labor market is "clearly weakening," validating fears that the Federal Reserve may have kept rates too high for too long. The Crypto Fear & Greed Index reflected this panic, dropping to 18 (Extreme Fear) on March 6, its lowest point in weeks.

The Bull Case

Despite the immediate price drop, macro-focused bulls argue that this data forces the Federal Reserve's hand, inevitably leading to the kind of monetary expansion that historically benefits hard assets.

Stephen Miran, an economist cited by MEXC News, argued on March 5 that the Federal Reserve should slash rates immediately, citing the deteriorating jobs market. His thesis suggests that once the Fed pivots to emergency cuts to save the labor market, liquidity will flow back into Bitcoin.

Similarly, Bret Kenwell of eToro suggested that the visibly weakening jobs market is a trend that could pull the Fed in a more dovish direction as 2026 unfolds. According to Kenwell's analysis in Bloomberg, the initial shock of the data may be bearish, but the policy response remains the primary driver for long-term asset appreciation.

The Bear Case

Skeptics warn that the economic environment has shifted toward stagflation—low growth combined with persistent inflation risks—which is historically hostile to equities and crypto alike.

Ellen Zentner, Chief Economic Strategist at Morgan Stanley Wealth Management, stated on March 6 that the Fed is "between a rock and a hard place." She noted that rising oil prices could trigger a resurgence in inflation, preventing the central bank from cutting rates despite the obvious labor weakness. If the Fed cannot print money to solve this crisis, the liquidity thesis for Bitcoin weakens.

Meanwhile, long-time Bitcoin critic Peter Schiff issued a dire warning. As reported by KuCoin, Schiff noted that Bitcoin is already down 50% from its cycle peak of $126,000. He forecasted a potential crash to $40,000, arguing that the recession will drive investors out of speculative assets and into traditional safe havens like gold.

What to Watch

Traders should monitor the $60,000 support level, which serves as the next major technical floor. Additionally, the correlation between Bitcoin and the Nasdaq 100 will be critical in the coming days; if Bitcoin decouples during equity sell-offs, it may signal a return to its "digital gold" narrative.

Finally, watch the ETF flows for the week ending March 13. If the $228 million outflow on March 6 expands into a trend, it indicates that institutional investors are de-risking ahead of the next Federal Open Market Committee (FOMC) meeting.