#Buy Bitcoin on dips#

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Hot Topic Overview

Overview

Bitcoin has seen some bargain hunting recently, with prices rebounding to near $95,000. However, the market still faces a crucial test with the upcoming US jobs report. A stronger-than-expected jobs report is expected to intensify concerns about the Fed's hawkish stance, further pushing up inflation-adjusted bond yields and putting pressure on risk assets. Conversely, if the data is weak, it could trigger market expectations of Fed rate cuts, which would be positive for risk assets. Additionally, the US government holds a significant amount of Bitcoin, and its selling activity could also impact market movements. Therefore, the future direction of Bitcoin remains uncertain, and it is crucial to closely monitor the jobs report and other relevant factors.

Ace Hot Topic Analysis

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Analysis

Currently, the Bitcoin market has shown some stability, with prices rebounding to near $95,000, supported by bargain hunters. Recently, Bitcoin prices tested the long-term support zone of $90,000-$93,000, which has successfully prevented at least six declines since the second half of November. However, the upcoming US non-farm payrolls report will test this latest rebound. The report is expected to show an increase of 164,000 jobs in December. A stronger-than-expected jobs report could exacerbate concerns about the Fed's hawkish stance, further pushing up inflation-adjusted bond yields, thus complicating the situation for risk assets. On the other hand, if the data is weak, it could trigger market expectations of a Fed rate cut and shift market sentiment significantly in favor of risk assets, pushing Bitcoin prices to attempt to break through $100,000 again. Overall, the Bitcoin market is currently in a critical period, and investors need to closely monitor the results of the US non-farm payrolls report and make investment decisions accordingly based on market reactions.

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Bitcoin buyers on dips are supporting the market, but key US jobs data could cause volatility in prices.

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Stronger-than-expected jobs data could exacerbate concerns about the Fed's hawkish stance, further pushing up real yields, which is negative for risk assets, including Bitcoin.

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Weaker-than-expected jobs data could trigger market expectations of Fed rate cuts, which would be positive for risk assets, and Bitcoin could again attempt to break through $100,000.

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The US government holds a large amount of Bitcoin, and its selling could have a significant impact on the market.

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