Bitcoin Bulls Look to Hold Key Support Ahead of NFPs: How to Trade the Report

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Market Analysis by Investing.com (Günay Caymaz) covering: BTC/USD, Bitcoin Futures CME, Bitcoin, Bitcoin Tracker One XBT Provider. Read Investing.com (Günay Caymaz)'s Market Analysis on Investing.com

Bitcoin recently faced significant resistance after the Federal Reserve's interest rate decision but saw short-term gains due to increased risk appetite.

Should daily closes fall below $34,000, it could intensify selling pressure and potentially lead Bitcoin to retreat to the midline of the 2023 rising channel, with an interim support of around $33,100. In such a scenario, the cryptocurrency could test the $32,000 level.The trigger for a possible pullback could be higher-than-expected employment data.

Analyzing historical data, it's evident that during the protracted decline in the past, a noteworthy reaction occurred within the range of $36,500 to $48,000 in 2022. Depending on short-term resistance levels, we could anticipate price fluctuations within this range over the next three months. Nevertheless, if the week concludes above the short-term resistance level of $35,300, it increases the likelihood of Bitcoin continuing its upward journey without a significant correction.

 

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