The latest U.S. unemployment data dropped a bombshell—a record high in initial jobless claims since the pandemic, with 1.17 million people joining the ranks of the unemployed, sending market sentiment into a tailspin. What’s even more concerning is that over 120,000 small business layoffs occurred in November, and the tech sector saw a surge in layoffs due to the AI replacement wave, making even degree-holding white-collar workers nervous.

This batch of data has the market betting on a Fed rate cut in December, with the odds soaring to 89%. On the surface, the crypto space is celebrating, but there’s turmoil underneath—BTC just broke above $93,000, but in the past 24 hours, more than 106,000 traders were liquidated, with total liquidations reaching $360 million.

Current employment data is practically schizophrenic: initial jobless claims suggest the job market is still strong, but ADP private sector data recorded the biggest drop since March 2023. These conflicting signals have the market swinging back and forth—BTC is now desperately holding the $90,000 mark, and ETH is struggling to stay above its $3,000 support. If either of these levels breaks, panic selling could be triggered at any moment.

Don’t just blindly celebrate rate cut expectations. What the market really lacks now is new capital inflow; last month’s $4.7 billion net outflow from ETFs is clear evidence. The real line in the sand moving forward is the PCE inflation data—if it cools, it could pave the way for BTC to surge to $100,000; if it comes in hotter than expected, get ready for a deep correction. Those with high leverage should manage their positions carefully and keep a close eye on the $90,000 BTC and $3,000 ETH support levels—if they break, don’t hesitate.