Bitcoin price holds above $29,000 after below-expectations US NFP data
Aa
Share
- Nonfarm Payrolls in the US rose by 187,000 in July, against the expectation of 200,000.
- The reading came in below the market consensus, supporting the likelihood of a recovery in risk assets like Bitcoin and Ethereum.
- An increase in selling pressure on the US Dollar could catalyze a rally in Bitcoin, pushing the asset past the psychological barrier at $30,000.
Bitcoin price is currentlytrading near a six week low. Post the US NFP data release for July, the asset sustained above the 29,000 level, showing likelihood of price recovery in August.
NFP in the US came in below the expectations of market participants, at 187,000 and the Unemployment Rate dropped to 3.5%. The macroeconomic outlook is likely shifting in favor of risk assets, however it remains to be seen whether the selling pressure on the US Dollar rises.
Also read: Breaking: US Nonfarm Payrolls increase 187,000 in July vs. 200,000 expected
Bitcoin remains steady above $29,000, eyes comeback to $30,000
Bitcoin price eyes a comeback to the $30,000 since it consistently declined over the past six weeks. Market participants have been awaiting a catalyst in the asset, like the US Securities and Exchange Commission’s approval of a spot Bitcoin Exchange Traded Fund (ETF). However, US regulatory uncertainty and the regulator’s crackdown on crypto continues, and Bitcoin price is struggling to resume its uptrend.
Amidst the DeFi crisis and regulatory crackdown on crypto exchanges, the US economy added 187,000 Nonfarm Payrolls in July.
Bitcoin price is in a multi-month uptrend, a definitive close below the $27,700 level would imply a bearish trend reversal is likely. As seen in the price chart below, key resistance for BTC price is the $27,300 level, at the confluence of the 10 and 50-day Exponential Moving Averages (EMAs).
BTC/USDT one-day price chart on Binance
The 200-day EMA at $27,042 is a support for the asset in the event of a decline in BTC price.
At the time of writing, the US Dollar came under modest selling pressure. An increase in selling pressure on the USD could act as a catalyst for risk assets like Bitcoin, Ethereum and altcoins.
