The latest US non-farm payroll data for July was surprisingly sluggish, adding only 73,000 jobs, far below the market expectation of 104,000, and significantly lower than last month's 147,000. This data triggered a strong reaction in the financial markets, prompting Wall Street to reassess its pricing logic.

The US dollar index fell in response, while gold prices saw an increase. US Treasury yields quickly retreated, and market expectations for a potential early interest rate cut by the Federal Reserve suddenly heated up. Against this backdrop, the cryptocurrency market also began to brew a sentiment rebound.

It is worth noting that this employment data stands in stark contrast to the previously released PCE inflation data. The PCE data exceeded expectations, which had once triggered a downturn in the sentiment of cryptocurrencies such as Bitcoin and Ethereum. However, the weak employment data may become a key factor in changing the Federal Reserve's hawkish stance.

Currently, the US labor market is clearly cooling down, which may signal the arrival of an economic downturn instead of the previously hoped-for soft landing. The Federal Reserve is facing a dilemma of uncontrolled inflation and a labor market that is starting to come under pressure. The market generally believes that if the Federal Reserve continues to maintain a tough stance, it may trigger more serious economic problems.

In this context, Bitcoin has seen a slight rebound, while Ethereum has also recovered to the range of $3660-3670, showing a short-term stabilization trend. However, investors need to be aware that the current market is still in the stage of digesting news, and a real upward trend may only occur after the market fully digests the interest rate cut expectations and re-prices the capital.

In the next 24 hours, if the US dollar index continues to weaken and US Treasury yields maintain a downward trend, the cryptocurrency market may experience a more significant rebound opportunity. Investors should closely monitor changes in these macroeconomic indicators and their potential impact on the cryptocurrency market.