Bitcoin fell on Thursday to its weakest point in more than half a year, as traders reduced positions in risk assets and assessed the likelihood of another U.S. interest-rate cut in December.

The digital asset slipped to $86,325.81 during the session, its lowest mark since April 21. It later traded at $86,690.11. The move came as fresh U.S. labor data signaled stronger hiring and complicated expectations for monetary easing.

Government figures showed the economy added 119,000 jobs in September. Economists surveyed by Dow Jones had forecast 50,000. The surprise increase prompted investors to reconsider whether the Federal Reserve would proceed with a reduction in its benchmark overnight rate next month. Pricing in the CME Group’s FedWatch tool placed the probability of a December cut at about 40%.

Bitcoin’s decline occurred alongside a broader pullback in digital assets. XRP was down 2.3% and traded below $2.00. Ether dropped more than 3% and held well under $3,000. Dogecoin was unchanged.

The slump also weighed on equities. Analysts noted that traders active in AI-related stocks often hold bitcoin, drawing a link between movements in the cryptocurrency market and technology shares. The correlation persisted even after Nvidia reported strong quarterly results.

Bitcoin has been weakening for several weeks. The downturn accelerated in early October, when a wave of liquidations hit heavily leveraged crypto positions. The cascading sell-offs pushed prices lower and contributed to the recent volatility.

Thursday’s drop underscored continuing sensitivity to shifts in economic data. Investors monitored unemployment figures and interest-rate expectations for signs of how financial conditions may evolve through the end of the year.

Market observers said the combination of strong hiring and reduced conviction in near-term rate cuts added pressure on assets perceived as higher risk. Crypto prices moved steadily lower through the morning and early afternoon as trading volumes picked up.

By late Thursday, bitcoin and other major tokens remained near session lows. Traders awaited further economic reports and policy signals to gauge the path of digital asset prices in the weeks ahead.