๐จ US NFP SURPRISE: WHATโS NEXT FOR BITCOIN & CRYPTO?
The August US Nonfarm Payrolls report came in much stronger than expected:
๐บ๐ธ NFP: 162K
๐ Forecast: 55K
๐ Unemployment: 4.1%
๐ July revised: +21K
This is significantly stronger than the market expected and could be bearish for Bitcoin and risk assets in the short term.
Why? A stronger labor market gives the Federal Reserve more room to keep rates higher or even consider a rate hike. Following the report, Treasury yields moved higher and market expectations for a September Fed hike increased. (Reuters)
๐ป How far could BTC fall?
The NFP alone does not guarantee a major crash. The first reaction could produce volatility and a sharp pullback, but the key levels are BTCโs technical supports.
Scenario 1 โ Mild pullback:
BTC holds its major support โ recovery possible.
Scenario 2 โ Bearish breakdown:
BTC loses important daily support โ selling could accelerate toward the next support zone.
Scenario 3 โ Extreme reaction:
If yields and the dollar continue rising and BTC breaks multiple supports, the broader crypto market could experience a much deeper correction, with altcoins potentially falling considerably more than BTC.
โ ๏ธ Important: The next major catalyst is inflation data. A strong NFP combined with hotter-than-expected CPI would create a much more bearish setup for crypto.
Bottom line: NFP is currently a short-term bearish pressure for BTC and altcoins, but confirmation should come from BTCโs price structure and upcoming CPI.
#Bitcoin #BTC #Crypto #NFP #FederalReserve #BinanceSquare
The August US Nonfarm Payrolls report came in much stronger than expected:
๐บ๐ธ NFP: 162K
๐ Forecast: 55K
๐ Unemployment: 4.1%
๐ July revised: +21K
This is significantly stronger than the market expected and could be bearish for Bitcoin and risk assets in the short term.
Why? A stronger labor market gives the Federal Reserve more room to keep rates higher or even consider a rate hike. Following the report, Treasury yields moved higher and market expectations for a September Fed hike increased. (Reuters)
๐ป How far could BTC fall?
The NFP alone does not guarantee a major crash. The first reaction could produce volatility and a sharp pullback, but the key levels are BTCโs technical supports.
Scenario 1 โ Mild pullback:
BTC holds its major support โ recovery possible.
Scenario 2 โ Bearish breakdown:
BTC loses important daily support โ selling could accelerate toward the next support zone.
Scenario 3 โ Extreme reaction:
If yields and the dollar continue rising and BTC breaks multiple supports, the broader crypto market could experience a much deeper correction, with altcoins potentially falling considerably more than BTC.
โ ๏ธ Important: The next major catalyst is inflation data. A strong NFP combined with hotter-than-expected CPI would create a much more bearish setup for crypto.
Bottom line: NFP is currently a short-term bearish pressure for BTC and altcoins, but confirmation should come from BTCโs price structure and upcoming CPI.
#Bitcoin #BTC #Crypto #NFP #FederalReserve #BinanceSquare