Crypto Markets Swing Wildly as Job Growth Slows, Trump–Musk Feud Adds to Uncertainty

Cryptocurrency markets continue to record volatility on Friday following the release of U.S. employment data and a viral feud between President Donald Trump and Tesla CEO Elon Musk.

At the time of writing, Bitcoin (BTC) is trading at $105,000, up 1% over the past 24 hours. Ethereum (ETH) is down 3% to $2,490. XRP is trading flat on the day at $2.17 while Solana (SOL) is up by 0.6% at $150.

The total cryptocurrency market capitalization decreased by 2% on the day to $3.36 trillion. Leveraged liquidations totalled $905 million, according to CoinGlass. BTC accounts for around $329 million, while ETH liquidations came in at around $256 million.

In the exchange-traded fund (ETF) space, U.S. spot BTC ETFs recorded $278 million in outflows. Spot ETH ETFs, on the other hand, attracted $11 million in inflows, according to SoSoValue data.

Experts attribute the market volatility to uncertain macroeconomic conditions, amid slower job growth, as well as political tension fueled by an online dispute between President Trump and Elon Musk.

“We are in a period of high economic uncertainty, where even small headlines can move markets dramatically,” said Dr. Kirill Kretov from CoinPanel. “Expect intense volatility across all markets, especially in crypto, where price swings are often amplified.”

U.S. Employment Data

U.S. nonfarm payrolls rose by 139,000 in May, with prior months revised down by 95,000.

Meanwhile, the unemployment rate held steady at 4.2%, according to the Bureau of Labor Statistics. Healthcare, hospitality, and social assistance saw gains; however, federal government employment continued to decline.

While the figure came in better than the expected 130,000, it’s still lower than the initial reports for March (185,000) and April (177,000), suggesting slowing job growth.

This data follows Wednesday’s U.S. ADP employment report, which found private payrolls increased by just 37,000 in May – below April’s 60,000 gain and the Dow Jones estimate of 110,000. It represents the weakest monthly job growth since March 2023.

Trump-Musk Feud

Also adding to the market volatility this morning is the internet feud between President Trump and Elon Musk. On Thursday, tensions escalated over a political disagreement between the two regarding Trump’s proposed One Big Beautiful Bill.

Musk slammed the bill on X, formerly Twitter, calling it an “abomination.” At the same time, Trump threatened to cut off federal contracts to Musk’s companies, prompting Musk to retaliate with an unverified claim that Trump appears in the Jeffrey Epstein files.

While Musk has remained quiet on social media today, the President said he has no plans to speak with him anytime soon, according to Trump’s chief of staff, Susie Wiles, per NBC News.

The falling out comes around one week after Musk left his post at the controversial Department of Government Efficiency (D.O.G.E).

"As my scheduled time as a Special Government Employee comes to an end, I would like to thank President @realDonaldTrump for the opportunity to reduce wasteful spending," Musk wrote on X at the time.