Bitcoin’s Price Falls Following US Job Data Release
Bitcoin’s price dropped to $69,000 after the release of mixed job data in the US, leading to significant liquidations in the market. This decline was a direct response to the latest economic indicators, which revealed both positive and concerning signs for the US economy.
Economic Data and Market Sentiment Influence Bitcoin’s Trajectory
The non-farm payrolls expanded to 272,000 for May, surpassing April’s figures and exceeding the Dow Jones estimate. However, the unemployment rate saw an uptick to 4%, marking the first increase since January 2022.
- Job gains were prominent in sectors like health care, government, leisure, and hospitality.
- Analysts view this report as a hawkish sign, potentially delaying any expected interest rate cuts.
- The CME FedWatch Tool indicates a 50.5% chance of a rate cut by September, adding to market uncertainties and driving increased volatility in the crypto market.
Total Crypto Liquidations Reach Over $411 Million
Data from Coinglass shows that total crypto liquidations in the past 24 hours amounted to $411.88 million, impacting a large number of traders. Within this, long positions accounted for the majority of the liquidations, with short positions also contributing to the total.
Positive Outlook for Bitcoin in the Long Term
Despite the recent price dip, respected analyst Markus Thielen shares an optimistic perspective on Bitcoin’s future. The expert foresees a potential surge towards $83,000, driven by various factors like a bullish head-and-shoulders formation and supportive macroeconomic conditions.
- Thielen highlights the impact of global central bank easing and recent interest rate cuts in various regions.
- Market sentiment and the probability of rate cuts play a crucial role in influencing risk assets like Bitcoin.
Institutional Interest Strengthens Bitcoin’s Long-Term Prospects
The growing interest from institutional investors continues to bolster Bitcoin’s long-term outlook. Noteworthy acquisitions by institutions and steady inflows into US spot Bitcoin exchange-traded funds (ETFs) underline this positive trend.
- ETFs have seen consistent inflows, with a record-breaking streak of 19 consecutive days surpassing previous milestones.
- Data from SoSo Value indicates a cumulative net inflow of $15.69 billion into these ETFs as of June 7.
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