Bitcoin (BTC) saw a slight increase in value at the opening of the Wall Street market on August 4th due to mixed unemployment data in the United States. The fluctuation in the strength of the U.S. dollar was caused by the lower-than-expected jobless figures, which came in at 3.5% compared to the estimated 3.6%. Additionally, the number of jobs added was lower than what was forecasted. This data was met with uncertainty, with financial commentator Holger Zschaepitz stating that there was no clear message in the figures. However, The Kobeissi Letter described the U.S. labor market as the most resilient in history, despite the rising rates of unemployment.
Although the U.S. stock market and Bitcoin experienced modest gains as a result, the value of the U.S. dollar decreased by 0.6% on that day, reaching new lows for the month of August. Michaël van de Poppe, the founder and CEO of trading firm Eight, believed that this decrease in the U.S. dollar could potentially lead to an improvement in the BTC/USD value leading up to the release of the Consumer Price Index (CPI) inflation print for June on August 10th.
In terms of Bitcoin itself, there were brief moments of price volatility, which led to surprising reactions among traders. Skew, a popular trader, tracked these movements and shared them on social media. The on-chain monitoring resource, Material Indicators, also observed changes in liquidity on the Binance BTC/USD order book. Both of these sources were captivated by the real-time movements in Bitcoin’s price in response to the economic reports.
Moving forward, it was predicted that the overall sideways trading environment would not experience any significant changes over the weekend. Popular trader Crypto Tony noted that Bitcoin would likely remain range-bound, stuck above a specific support zone during that time.
It is important to note that this article does not contain any investment advice or recommendations. It is crucial for individuals to conduct their own research and exercise caution when making investment and trading decisions.