BTC Dips as US Jobless Claims and GDP Data Loom: What’s Next for Bitcoin?

Bitcoin Extends Its Losses from Tuesday

On Wednesday, August 28, BTC declined by 0.71%, following a 5.40% tumble from the previous session, closing at $59,082. BTC extended its losing streak to four sessions as the broader market dipped by 0.10% to a total market cap of $2.039 trillion.

NVIDIA Earnings Miss Top Estimates

On Wednesday, NVIDIA (NVDA) released its highly anticipated Q2 2024 earnings report. While NVIDIA’s Q2 2024 earnings beat the consensus, they fell short of top estimates, resulting in a 6.89% drop in after-hours trading.

The downtrend impacted buyer demand for riskier assets despite a positive outlook.

US BTC-Spot ETF Market Flows Reflect NVIDIA Earnings Response

On Tuesday, August 27, the US BTC-spot ETF market reported total net outflows ($127.1 million) for the first time in nine sessions. The US BTC-spot ETF market faced a second consecutive day of outflows on Wednesday as investors considered NVIDIA’s earnings.

According to Farside Investors:

• ARK 21Shares Bitcoin ETF (ARKB) reported net outflows of $59.3 million.
• Fidelity Wise Origin Bitcoin Fund (FBTC) and VanEck Bitcoin Trust (HODL) saw net outflows of $10.4 million and $10.1 million, respectively.
• Bitwise Bitcoin ETF (BITB), Grayscale Bitcoin Trust (GBTC), and Grayscale Bitcoin Mini (BTC) saw total net outflows of $25.5 million.

Excluding inflow and outflow data for iShares Bitcoin Trust (IBIT), the US BTC-spot ETF market recorded net outflows of $105.3 million.

US BTC-spot ETF market flows remain significant for investors and BTC price trends. Bloomberg Intelligence Senior ETF Analyst Eric Balchunas commented on the US BTC-spot ETF market, showcasing its BTC holding, stating,

“US spot bitcoin ETFs now have 84% of the bitcoin that Satoshi has, on track to have more and take over top spot by Halloween. That was fast!”

BlackRock (BLK) ranked third, behind Satoshi Nakamoto and Binance Exchange.

Key Reports to Influence BTC Price Trends

On Thursday, US jobless claims, GDP, and housing sector data require investor consideration. The US jobless claims may have a more significant impact on the global markets as the Fed scrutinizes the US labor market.

Economists expect initial jobless claims to remain unchanged at 232k in the week ending August 24. An unexpected spike in jobless claims could retrigger US recession fears, possibly impacting buyer demand for BTC-spot ETFs and BTC.

Investors should remain alert amid possible changes to supply-demand trends. Stay updated with our latest news and analysis to manage exposure to BTC and the broader crypto market.

Technical Analysis

Bitcoin Analysis

BTC remained below the 50-day and 200-day EMAs, affirming bearish price signals.

A breakout from the 200-day EMA and the $60,365 resistance level could give the bulls a run at the 50-day EMA. Furthermore, a break above the $64,000 resistance level could lead to a move toward the $69,000 resistance level.

US labor market data, sentiment toward the Fed rate path, and BTC-spot ETF market flow trends require consideration.

Conversely, a fall through $57,500 could give the bears a run at $55,000. A break below $47,500 may signal a drop to the $52,884 support level.

With a 44.54 14-Daily RSI reading, BTC may fall below $55,000 before entering oversold territory.

Ethereum Analysis

ETH remained below the 50-day and 200-day EMAs, confirming the bearish price trends.

An ETH break above the $2,664 resistance level could give the bulls a run at $2,800. A return to $2,800 could signal a move toward the 50-day EMA.

US ETH-spot ETF market-related news also requires consideration.

Conversely, an ETH fall through the $2,403 support level may bring the $2,124 support level into play.

The 14-period Daily RSI reading, 40.13, indicates an ETH fall below the $2,403 support level before entering oversold territory.