Bitcoin (BTC) advanced by 0.24% on Monday, July 1, closing at $62,894. Caution prevailed on Monday as investors awaited crucial US economic indicators that could dictate the Fed rate path. US labor market data, Fed Chair Powell, and US BTC-spot ETF market flow trends require investor consideration on Tuesday, July 2. Weaker-than-expected US ISM Manufacturing PMI numbers supported buyer demand for BTC. The ISM Manufacturing PMI fell from 48.7 to 48.5 in June. Furthermore, the ISM Manufacturing Employment PMI dropped below the crucial 50 level, falling from 51.1 to 49.3. BTC reacted to the ISM survey-based data, rising to a session high of $63,845 before retreating below the $63,000 handle. Despite the weaker labor market indicators, the chances of a September Fed rate cut improved marginally. According to the CME FedWatch Tool, the probability of the Fed holding interest rates unchanged in September slipped from 35.9% to 35.2% on Monday. The US JOLTs Job Openings Report (Tues), weekly Jobless Claims (Wed), and US Jobs Report (Fri) will likely influence BTC price trends more. The US BTC-spot ETF market could reflect investor sentiment toward the Fed rate path. On Monday, July 1, the US BTC-spot ETF market headed for a five-day inflow streak. According to Farside Investors, Grayscale Bitcoin Trust (GBTC) reported zero net flows on Monday after outflows of $27.2 million on Friday, June 28. Bitwise Bitcoin ETF (BITB) had net inflows of about $40.0 million. BTC remained below the 50-day EMA but sat above the 200-day EMA. The EMAs confirmed the bearish near-term signals but bullish longer-term trends. A BTC move through the $64,000 resistance level could give the bulls a run at the 50-day EMA. A break above the 50-day EMA could signal a move to the $69,000 resistance level. US labor market data, US BTC-spot ETF market flow data, and Fed chatter require consideration. On the other hand, a break below the $60,365 support level would bring the 200-day EMA into play. With a 43.99 14-Daily RSI reading, BTC may drop below the 200-day EMA before entering oversold territory. [2423b487]
Bitcoin (BTC) is capturing the interest of investors speculating on the Federal Reserve's future decisions and their impact on virtual currencies. BTC rose by 0.24% to $62,894 on July 1, following a previous day's spike of 2.88%. The fluctuation in BTC's value reflects declining employment opportunities and chances in the US economy. The ISM Manufacturing PMI dipped from 48.7 to 48.5 in June, indicating a decline in the manufacturing sector. Employment in the manufacturing sector has also declined, with the ISM Manufacturing Employment PMI dropping to 49.3. Investors are rebalancing their expectations, including a slower policy tightening by the Federal Reserve and a possible interest rate cut in September. Job openings, new weekly unemployment claims, and the US Jobs Report may have a stronger impact on BTC price fluctuations. The US BTC-spot ETF market has shown optimism, with inflows for five consecutive days. BTC's technical analysis shows it is currently trading within support and resistance levels, with a long-term bullish and short-term bearish outlook. The Federal Reserve's forthcoming actions and economic data release are closely monitored by investors and market analysts. [35fef5ea]
The US economy's instability due to persistent inflation and sustained stock market increases driven by Big Tech might lead to significant changes in Bitcoin's price in July. Concerns regarding the US Federal Reserve's approach, alongside bottlenecks and labor shortages, contribute significantly to the forecasts. Jag Kooner, Chief of Derivatives at Bitfinex, interprets these trends as signs of a potential Bitcoin surge amidst US economic instability. Kooner suggests that cryptocurrencies, especially Bitcoin, could become more appealing due to a weakening traditional market. However, Pratik Kala, Head of Research at DigitalX, anticipates a decrease in Bitcoin volatility in July. Despite Bitcoin recently falling short of its record high, optimism remains high among investors. The continuous period in which Bitcoin's market cap remained above $1 trillion signifies enduring potential for significant growth. [061f065e]