BTC Needs a Crypto-Friendly US Jobs Report to Avoid Sub-$28,500

Key Insights:

• On Thursday, BTC fell by 1.91% to end the day at $29,982.
• US economic indicators and Fed Fear sent BTC and the broader market into the red.
• The technical indicators turned bearish, signaling a return to sub-$28,500.

On Thursday, bitcoin (BTC) fell by 1.91%. Following a 0.97% loss on Wednesday, BTC ended the day at $29,982. The bearish session left BTC at sub-$30,000 for the first time since June 22.

After a range-bound start to the day, BTC rallied to a late-morning high of $31,504. BTC broke through the lower and upper levels of the $30,750 – $31,250 resistance band before hitting the reverse. The reversal saw BTC fall through the resistance band to wrap up the day at $29,982.

Bitcoin (BTC) Price Action

This morning, BTC was up 0.58% to $30,146. A mixed start to the day saw BTC fall to an early low of $29,805 before rising to a high of $30,188.

Daily Chart

The Daily Chart showed a BTC/USD move through the psychological $30,000 resistance level. BTC/USD remained above the 50-day ($28,718) and 200-day ($26,221) EMAs, signaling bullish momentum over the near and long term.

Notably, the 50-day EMA continued to pull away from the 200-day EMA and reflected bullish momentum.

Looking at the 14-Daily RSI, the 56.97 reading signaled a bullish outlook and aligned with the 50-day and 200-day EMAs, supporting a move through the lower and upper levels of the $30,750 – $31,250 resistance band to target $31,500.

4-Hourly Chart

Looking at the 4-Hourly Chart, the BTC/USD faces strong resistance at the $30,000 psychological level. BTC/USD sits below the 50-day EMA ($30,547) while sitting above the 200-day EMA ($29,120), sending bearish near-term signals but bullish longer-term signals.

Significantly, the 50-day EMA narrowed to the 200-day EMA, signaling a fall through the 200-day EMA ($29,120) to bring the upper level of the $27,500 – $26,850 support band into view.

BTC/USD must move through the 50-day EMA ($30,547) to support a breakout from the lower level of the resistance band and target $31,250 and the Thursday high of $31,504.

The 14-4H RSI reading of 38.87 indicates a bearish stance and aligns with the EMAs, with selling pressure outweighing buying pressure. Significantly, the RSI signals near-term bearish momentum and supports a fall to sub- $28,500.

Blackrock and Binance Delivered a Choppy Thursday

It was a busy Thursday session, with US economic indicators sending the crypto market into the reverse. An unexpected 497k surge in ADP nonfarm employment raised bets on consecutive Fed rate hikes in July and September.

Binance-related news added to the bearish sentiment, with reports of Binance executives leaving the firm testing buyer appetite. In recent months, Binance has flooded the crypto news wires. The SEC move against Binance has led to a domino effect, with European and Australian regulators placing Binance under the microscope.

Blackrock Inc. (BKL) CEO Larry Fink delivered early BTC support. Fink labeled BTC an international asset and called it digital gold.

The Day Ahead

It is a busy Friday session, with the US economic calendar likely to affect investor sentiment this afternoon. After the market sensitivity to the ADP Report, we expect the US Jobs Report to influence.

However, investors should continue to monitor the crypto news wires. ETF, Binance, and SEC v Ripple-related news will be focal points.