Coinbase and Robinhood stocks declined Friday amid renewed expectations for a Federal Reserve rate increase following stronger-than-expected US employment data. Coinbase fell 4.21% to $184.59, while Robinhood declined 1.17% to $123.26 during afternoon trading, reversing Thursday's crypto-linked gains.
The US economy added 162,000 jobs in August, significantly exceeding forecasts near 55,000. Unemployment held steady at 4.1%, matching expectations and remaining near its lowest level in 14 months. The strong report suggested employers continue expanding despite elevated borrowing costs and uncertain economic growth.
Following the employment data, traders raised the estimated probability of a September rate increase to approximately 60%, according to CME FedWatch. However, the Federal Reserve has not confirmed a rate hike. Officials will receive additional inflation evidence before deciding, with producer price data arriving September 10 and consumer inflation data on September 11. The Federal Open Market Committee meets September 15-16, with its decision due September 16.
Higher interest rates can pressure cryptocurrencies by increasing yields on safer assets and reducing speculative demand. Bitcoin traded near $79,558, down 1.81% after meeting seller resistance around $82,000. Ethereum dropped 2.16% to $2,448, while XRP declined 3.90% to $1.40.
Regulatory developments also influence both stocks. The Senate is expected to hold a CLARITY Act cloture vote September 15, requiring 64 votes to limit debate and advance the legislation. Passage could establish clearer federal oversight for digital assets, potentially supporting exchange listings and institutional participation, while failure would prolong regulatory uncertainty.
Coinbase stock support sits at $183.07, Friday's intraday low, with nearby psychological support at $180. Resistance levels are $191.57 and $192.70, the previous close, followed by $200. Robinhood has immediate support around $118.35, with resistance at $124.81.
