Bitcoin (BTC) Must Make It Past This Threshold To Bounce Back

The United States has just released the Employment Situation Summary, which describes the current state of the American labor market. Bitcoin, the dominant cryptocurrency in the market, is betting on the newly disclosed data for a possible departure from the bear market.

Bitcoin has struggled to keep its value within the critical $ 20,000 level. Despite this, investors have chosen HODL during the upcoming cryptocurrency winter. Over 62% of addresses with the currency have not been sold in the past year. This could suggest that investor sentiment as a whole is mixed.

Despite the fact that some investors have chosen to continue holding the currency, 32% of investors chose to sell the currency after holding it for a period of one to 12 months, while 6% sold their currency after holding it. detained for only one month.

Many believe that Bitcoin will recover

Although investor sentiment has been extremely volatile, the large percentage of investors who have chosen to keep indicates that many continue to believe that Bitcoin will recover. This may be the case now, as Uncle Sam provided a breakdown of the total US employment picture.

Since the release of the job report, the Bitcoin market has made a small profit. Coingecko reports that Bitcoin’s price at the time of the report was $ 20,060.85.

This reasonably large price increase from the morning price of $ 19,632.46 was, however, inevitably missed over the course of the day.

The crucial price of $ 25,000

Although the price eventually dropped after the study, Kitco just produced a report identifying the potential price point to end the bear market. The author of the report, Rajan Dhall, estimated a price of $ 25,066 for a full recovery of Bitcoin.

According to Rajan:

“Bitcoin appears to be trapped in a rut, but the good news is that the psychological threshold of $ 20,000 has been holding up for some time. After the bear flag formation was broken on August 19, from a purely technical point of view it would appear that the decline would continue. “

Rajan said a bullish rally is possible if the bulls manage to hold above that zone, but for now the consolidation low around $ 17,567 is the level to watch.

This current research, coupled with the relatively favorable US employment picture, could indicate an impending rally.

However, investors are still warming up despite the current cryptocurrency winter.

Crypto total market cap at $950 billion on the weekend chart | Source: TradingView.com

Featured image from MARCA, chart from TradingView.com

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