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  • Bitcoin bulls push BTC to highs of $23,300

    Bitcoin bulls push BTC to highs of $23,300

    • Bitcoin hit highs of $23,342 on Binance, with a breakout above $22k extending year-to-date gains.
    • BTC price is up 30% in a month and has recovered 47% since the decline to $15,500 lows.
    • Short liquidations were around $376 million in the past 24 hours.

    Bitcoin price roared to highs above $23,000 on Saturday morning, rising to $23,342 on Binance as the price of the world’s largest cryptocurrency by market cap hit levels last seen in mid-August 2022.

    BTC was changing hands around $22,900 at the time of writing, about 9% up in the past 24 hours after shedding some of the gains. 

    The price of Bitcoin was, however, still 35% up in the past 30 days, and as crypto trader and analyst Rekt Capital pointed out earlier this morning, BTC had rallied over 47% since falling to lows of $15,500 amid the FTX dump.

    Bitcoin price chart showing BTC rally to $23,000 on 21 January, 2023. Source: TradingView

     On-chain data platform Santiment noted just before today’s break above $23k that Bitcoin’s price rally has come amid a bullish outlook from large BTC investors. As the firm highlights in the chart below, whale addresses with 1,000 to 10,000 BTC have in the past two weeks accumulated over 64,638 bitcoins worth more than $1.46 billion.

    Over $376 million in shorts liquidated

    As Bitcoin raced to highs near $23,350, liquidation data showed that in the past 24 hours, about 80,497 traders had been liquidated.

    According to Coinglass, the largest short liquidation was on Bitmex where an order worth $4.53million was rekt. The total liquidations as of 06:10 am ET on 21 January were $376.61 million. 

    Notably, total liquidations are not at the levels seen when BTC/USD broke above $20,000 last week towards erasing all post-FTX losses. Nonetheless, it still shows some traders are convinced this could be a gigantic bull trap. 

    But as it is, further upside momentum could see bulls target $25,000 or possibly higher if sentiment across risk markets helps bouy buy pressure.

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  • Bitcoin is ‘a hyped-up fraud’

    Bitcoin is ‘a hyped-up fraud’

    • JPMorgan CEO Jamie Dimon previously slammed Bitcoin as a “Ponzi scheme”.
    • On Thursday, he told CNBC’s Squawk Box that crypto is a decentralised Ponzi scheme and that Bitcoin is just “hyped-up fraud.”
    • Dimon says people have lost billions of dollars and believes regulators should have put a stop to crypto “a long time ago.”

    Not for the first time, JPMorgan CEO Jamie Dimon has labelled cryptocurrencies worthless.

    On Thursday, during an interview with CNBC’s ‘Squawk Box,’ the noted crypto sceptic again referred to Bitcoin as nothing but a “hyped-up fraud.” He condemned the benchmark crypto asset as a “pet rock”, expressing his disapproval by dismissing discussions over BTC and other cryptocurrencies as waste of time.

    Dimon says crypto ‘doesn’t do anything’

    According to the JPMorgan CEO Bitcoin is not a store of value, and he showed his scepticism further by suggesting that there could be more than 21 million bitcoins in the future.

    “How do you know it is going to stop at 21 million? Maybe it’s going to get to 21 million, and Satoshi’s picture is going to come up and laugh at you all. And say ta-da!”

    Dimon also went ahead to refer to crypto as a decentralised Ponzi scheme. According to him the hype around digital assets has been extraordinary, stating on the CNBC show:

    “You guys, you’ve all seen the analysis on Tether, the analysis on all these things – the lack of disclosures and it’s outrageous. Regulators should have stopped all these a long time ago. People have lost billions of dollars. If you look at its low-income people, in some cases retirees.”

    On what he had to say about the crypto industry following the collapse of FTX, the JPMorgan exec summed up his outlook by noting that crypto “doesn’t do anything.”

    “It’s a pet rock,” he told the Squawk Box hosts, adding that he doesn’t care about Bitcoin. 

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  • Bitcoin now at its pre-FTX collapse level

    Bitcoin now at its pre-FTX collapse level

    • At press time, bitcoin (BTC) was trading at $21,507.97.
    • Bitcoin price has surpassed where it stood on November 5 just prior to the FTX collapse.
    • It now stands at its highest price since mid-September last year.

    2022 was definitely not a very good year for crypto and especially for bitcoin (BTC) which was trading below $20K for quite a while before the year’s end. Bitcoin had plunged all the way down to about $15,000 in wake of the FTX collapse before attempting a comeback that saw it stuck close to $16,500 for several weeks before embarking on this current rally since the beginning of 2023.

    Bitcoin has now corrected the price dip that was caused by the latest crypto misfortune, the FTX collapse that took place at the beginning of November. Early this morning, the price of bitcoin surged to a daily high of $21,564.50 before slightly pulling back to $21,507.97 at the time of writing.

    What is behind today’s BTC price surge?

    While the general cryptocurrency market is on a bullish trajectory, today’s sudden surge in bitcoin price is largely attributed to this morning’s larger-than-expected decrease in the Producer Price Index (PPI) for the just concluded month of December. The retail sales in December also dropped way below their forecast.

    December’s PPI dropped by about 0.5% bringing the year-to-year rate down from 7.3% to 6.2%. The year-over-year rate dropped by about 5.5% against a forecast of a drop of 5.7%.

    On the other hand, December retail sales dropped by 1.1% against a forecast drop of 0.8%. Combined with the decline in November, this marks the first time retail sales have dropped back-to-back by more than 1% post the pandemic.

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  • Bitcoin and AI: Artificial Intelligence in Crypto

    Bitcoin and AI: Artificial Intelligence in Crypto

    • The global AI market is forecast to grow $1394.30 billion in 2023.
    • Investors and traders can tap into AI to benefit from features such as automation and accuracy.
    • Bitcoin and AI also have the capacity to combat frauds in transactions across global markets.

    Have you ever thought that where technology will extend us, either intelligent machines will replace us together or they will combine with humans to develop a third merger that will be four times more explosive than intelligent machines and humans? This is a long debate, but one thing is sure: artificial intelligence has plotted a strong position in this landscape, and almost every aspect is making full use of this. 

    This article is a mixture of Bitcoin with AI. Artificial Intelligence will be a role model for crypto enthusiasts to understand the crypto league and their sit in this landscape. 

    Salient stories

    A well-known market research firm Fortune Business Insight has predicted that the global AI market will extend to $1394.30 billion in the year 2023. Furthermore, Ai will drive better outcomes for crypto investors as it will predict the market value of coins perfectly. The pattern detection ability of AI will greatly influence the functionality of crypto. 

    Bitcoin and AI will combat many frauds that occur in transactions, and these transactions will be provided lethal speed. 

    In the crypto field, fraudulent activities have been the greatest threat, and if someone becomes a victim of these fraudulent activities, that will be a disaster. AI power will ensure a greater monitoring system around the digital currencies landscape, further fuming these currencies’ personalities. 

    AI provides better products that give the crypto the upper hand, and one such product is Trading Bots uses a range of AI tools like Machine Learning, Deep Learning, and others to enhance the crypto trading experience. Furthermore, these tools do not only work best for predicting the prices of crypto but for many other things like providing information about the crypto landscape, what’s new inside the crypto world, and many others. 

    Apart from these stories, there is a lot to debate. First among them is what people say about these coins. Different perceptions fall into the debate. First, a suitable amount of the population believes that these currencies can replace traditional paper currency in what sense, and secondly, many countries do not have to provide legal status, these countries and why major Tech companies of the world have yet to recognize the use of these coins. 

    The nature of these coins suggests that these coins are highly volatile, and predicting the exact future position of these coins is impossible. Even powerful AI tools cannot predict the real scenario. AI will just put efficiency but not to 100%. 

    When technology emerges, it also gives new opportunities for attackers to invade the system. Crypto trading is honey for the attackers, where they can exploit sweet. AI plays a beautiful role in this regard, but these attackers will adopt new ways to invade the system. 

    Positive signs 

    AI is a new and innovative thing for finance, especially crypto trading, and can lead to many amazes for crypto. And will help traders to extract the goods. But the story has not one hero but many others too. 

    The technological Landscape will grow in the coming time, which will help digital currencies to gather what they have lost. The year 2022 was a disaster for these coins, but technology will lead them to a stronger position in the coming time. 

    Despite poor performance in the year 2022, the demand for crypto is enhancing, which will further add to the significance of crypto. 

    When major companies recognize these currencies, the real game will start, and many companies have shown greater interest in this regard. 

    Final Thoughts

    There is a lot of heat going on regarding Bitcoin and AI, and the reason for such heat is simply the innovation they bring into this landscape. The digital landscape is all about techno products and their services, and both these dilemmas are best in the business. 

    On the one hand, Artificial Intelligence has been placing its theme in every aspect of the business. On the other hand, crypto, like Bitcoin, leads to innovative ways of investing. 

    And when both these things have merged, results are not hidden from anyone. One can use the internet to know better, and if not, then simply adopt both things, and then you will get to know about the difference. 

    Bitcoin and AI are providing many facilities to crypto companies and investors. The fascinating thing about AI is to predict the outcomes, which readily helps investors and companies to plot the future position of these digital coins. 

    Furthermore, this AI will lead to more secure transactions for investors and add greater measures for monitoring illegal activities within the crypto landscape. 

    There are AI bots for efficient trading that work as great news providers to traders, and together they perform the function of alerting the traders. 

    Last but not least, people’s perspective heavily influences the growth of these coins; when major companies or financial experts declare anything negative about them, then they will not merge in such a form to replace the traditional paper currencies. Still, if they feel positivity while using these coins, it will be easier for crypto like Bitcoin to make things happen. 

    If you are looking for the best crypto trading platform, then there is no need to search further. Just click on Immediate Connect, and this will lead you to a well-reputed trading platform that offers a range of solutions to find a better roadmap to make dollars from crypto.

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  • Bitcoin hits $18,200 as 13% more of of BTC supply in profit

    Bitcoin hits $18,200 as 13% more of of BTC supply in profit

    • Bitcoin price jumped more than 5% on Thursday to hit levels above $18,400.
    • According to on-chain data from Glassnode, the price rally has helped return 13% more BTC into profit; now 60.5% of circulating supply is in profit.
    • Only 47%-48% of BTC had been in profit between November 2022 and the start of January, 2023.

    Bitcoin’s breakout to prices above $18,200 has seen 13% more of circulating supply return into profit, on-chain data from Glassnode says.

    Per the platform, the sharp surge in percentage of supply in profit amid the latest crypto rally confirms a buy the dip scenario as prices fell in late 2022. Indeed, the metric suggests a large volume of the benchmark cryptocurrency was acquired at prices between $16,500 and $18,200.

    Bitcoin supply in profit jumps amid BTC rally

    Bitcoin price hit lows of $15,600 in November 2022 after a violent market reaction to the collapse of cryptocurrency exchange FTX. The price bounced to above $18,000 in mid-December before bulls hit resistance and BTC tumbled to below $17,000.

    The supply in profit or supply in loss metric considers the on-chain history of a coin, determining the price at which it last moved. Coins are in profit if the price at which they last moved is lower than the current price of BTC, while the percent in loss is when the current price of BTC is higher than the value of the coins when they last moved on-chain.

    According to Glassnode, more than half of Bitcoin circulating supply fell into loss between November and January this year. Approximately 47%-48% of BTC supply was in profit during the period.

    However, with 2023 starting positively for cryptocurrencies and BTC’s push to highs of $18,420 on 12 January, the percentage of circulating supply on profit has increased to 60.5%.

    As of writing, Bitcoin price is 5.2% up in the past 24 hours and data from CoinGecko shows the flagship cryptocurrency has rallied nearly 9% in the past week.

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  • What to expect in crypto ahead of inflation report, as Bitcoin banks eight straight days of gains

    What to expect in crypto ahead of inflation report, as Bitcoin banks eight straight days of gains

    Key Takeaways

    • Bitcoin has increased for eight straight days, now up 9.2% on the year
    • Period of low volatility in the crypto markets paired with softer inflation data has sent prices upward
    • Latest CPI report is out Thursday which will trigger volatility and is vitally important for the market following increased optimism over last month or so
    • Altcoins could move violently on the report, while Bitcoin will likely shake off its $18,000 mark if data comes in below or above expectation

     

    Bitcoin has banked eight straight days of price rises, as the new year has kicked off assiduously for cryptocurrency investors.

    Whereas 2022 brought nothing but pain and freefalling prices, 2023 has thus far been the exact opposite. Bitcoin is up above $18,000 and Ethereum close to $1,400, good for rises of 9.2% and 16.4% respectively year-to-date. Many altcoins are up even more.

    Volatility has reduced in the crypto markets

    The macro climate is pushing prices upward. I wrote a piece analysing the softer climate last week, but optimism has crept into the market that inflation may have peaked and that the possibility of a pivot from the Federal Reserve off its policy of heightened interest rates may be coming soon than previously anticipated.  

    It should be noted that while this is a nice rally, it is hardly a violent breakout. Cryptocurrencies are notoriously volatile and there has actually been an unusual serenity that has washed over markets over the past couple of weeks.

    A quick glance at the chart for the daily returns of Ethereum illustrates that there has been a perceptible fall in volatility.

    Inflation data to be released Thursday

    I write this on Thursday morning, with the all-important US inflation data to be released this afternoon. If we know anything by now, it is that inflation numbers rule the world. If there is anything in the current climate that will produce volatility, it is the CPI report.

    As mentioned above, this relief rally has largely been predicated on softer inflation leading to the hope that the Federal Reserve will pivot off its high-interest-rate policy sooner than anticipated. Another positive inflation number would give further impetus to crypto prices. It is not hard to imagine Bitcoin pushing up towards $20,000 and Ethereum to $1,500 if the number comes in cooler than anticipated.

    On the flip side, of course, is the potential for the number to disappoint investors. Following two straight months of positive inflation, a step back this afternoon would be a body blow for crypto, and it would not be a surprise to see it drop sharply as all the optimism of the last month gets released in an instant.

    The inflation number is expected at 6.5%. This would be a decline from the prior month of 7.1%. Should the number come in at 6.7% or higher, this would represent a major disappointment and crypto will likely freefall. Do not be surprised to see Bitcoin down at $16,500 in this scenario.

    The data will be released at 1:30 PM GMT (8:30 AM ET), and it is the last CPI report before the Federal Reserve’s February 1st interest rate decision.

    Altcoins showing signs of life

    However bad things have been for Bitcoin and Ethereum, the landscape has been a hell of a lot worse for altcoins. Below are the percentage returns in 2022 from the top 10 coins as of 1st January 2022.

    As is standard, these coins are significantly more volatile, and trade like leveraged bets on Bitcoin. It follows that this year, the jumps have also been stronger than the number 1 crypto. 

    Looking at the top 10 coins from Jan 1st this year, some of the returns have been seismic, albeit from a significantly lower base. Remember, a 90% drop followed by a 50% rise is still the same as an 85% drop from the original starting point. A simple math problem that many investors do not understand. Hence, the past couple of weeks have been positive, but this is still a space that has been absolutely ravaged by the bloodbath that was 2022, and it will take a very long time to recover from. 

    Final thoughts

    This is a pivotal week for the markets and it will be a true gauge of how far the battle against inflation has come. Central banks have been adamant that inflation is the number one priority, and the consequent interest rate policy has crushed risk assets over the last year.

    Things are tough in the markets, but with a third straight month of OK inflation data, it could point toward a light at the end of the tunnel. Then again, the world is teetering on the edge of a recession as it is, and if inflation takes a step back, it will be a double whammy of high rates and still-persistent inflation. As always, risk assets will feel the pain. 

    Crypto investors will just have to hope that the pivotal CPI number doesn’t dare tick up beyond 6.5%. 

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  • Grayscale Bitcoin Fund up 25% this year, but discount still killing investors

    Grayscale Bitcoin Fund up 25% this year, but discount still killing investors

    Key Takeaways

    • GBTC Fund is up 25% since the start of the year, compared to a 4% rise in the underlying asset, Bitcoin
    • The discount is now back to where it was prior to the FTX collapse, at 37%
    • The discount had hit an all-time high of 50% only four weeks ago

     

    The largest Bitcoin fund in the world, the Grayscale Bitcoin Trust, has seen its value jump by 25% since the start of the year. Bitcoin, on the other hand, is only up about 4% on the year.

    This means that the discount to the underlying asset, Bitcoin, is at its smallest level in months. I had analysed the divergence in December, only four weeks ago, when the discount hit an all-time high of 50%.

    Today, the discount sits at 37%, back to where it was before the ignominious collapse of FTX.

    What is the Grayscale discount?

    Grayscale is a trust which provides an avenue for investors to gain exposure to Bitcoin without physically buying Bitcoin. This can be convenient for institutions or other entities who may not be able to participate I the Bitcoin market directly for regulatory or legal reasons.

    But Grayscale has rarely traded at the same price as its net asset value. Previously, it had traded at a premium to the underlying Bitcoin as shares surged with investors desperate to get exposure to the high-flying cryptocurrency.

    Today, however, it is the opposite – a steep discount. While there is a chunky fee of 2% that explains some of the discount, this does not come close enough to bridging a discount of 30%+ that we have seen consistently in this crypto winter.

    The SEC recently denied Grayscale’s application to convert the trust into an exchange-traded fund, spelling bearish action around the fund. There has also been the rise of more competition, with similar funds being launched, especially in Europe, and filings for Bitcoin ETFs.

    But the most significant worry was surrounding the safety of reserves. This issue grew legs after the FTX collapse, as speculation mounted that Grayscale’s parent company, Digital Currency Group (DCG), may file for bankruptcy.

    DCG is also the parent company to Genesis, which recently laid off 30% of its staff and is reportedly considering bankruptcy. Concern grew when Grayscale refused to publish a proof of reserves report, suddenly in vogue following the nefarious actions behind the scenes at FTX.

    It cited “security concerns” as the reason that this would not be possible, but analysts decried this, with it very unclear what security concerns could be ignited by the publishing of public records on the blockchain.

    Why has the discount closed?

    While the discount is still enormous at 37%, this has narrowed from the staggering 50% it reached in the aftermath of the FTX implosion.

    There has been increasing pressure on DCG to address this discount, with calls from within the industry that the trust should allow investors to redeem their holdings, which would allow them to realise the full value of the Bitcoin they hold. This clamour may have helped narrow the gap somewhat.

    One hedge fund, Fir Tree, even launched a lawsuit against Grayscale, demanding that the company either lower its fees or allow redemptions such that the discount can be closed.

    But like everything in crypto right now, macro also has a part to play. The year has begun with crypto prices rising off increased optimism that inflation may have peaked. This follows a relatively serene month or so in crypto markets.

    The discount widened to a large degree in the aftermath of the FTX crash because people feared contagion and the chips were still falling. Similar to the peg on Tether slipping when the UST crisis occurred.

    Now that normal service has somewhat resumed, the discount has narrowed. Unfortunately for investors, it is still a staggering 37% off the net asset value. In a year where Bitcoin itself has plummeted, layering in a discount on top of that torrid price action is the last thing investors needed…

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  • Bitcoin price (BTC/USD) could tank further, but you might be excited by this Bloomberg prediction

    Bitcoin price (BTC/USD) could tank further, but you might be excited by this Bloomberg prediction

    • Bloomberg report projects bullish Bitcoin in 2023

    • Analysts bank on recession dynamics and central banks’ actions as bull triggers

    • BTC trades on a short-term recovery, with $19,000 in sight

    Investors may hold their breath, hoping that 2023 will turn out to be a good year for crypto and stocks alike. But even with these hoped-for expectations, market analysts have warned that 2023 could be the year of a global recession. With the economic depression, notable recoveries may be hard to come by. But Blomberg analysts think a recession would be a bullish trigger for Bitcoin price (BTC/USD). How?

    In its cryptocurrency outlook, analysts say Bitcoin will come out ahead in a potential economic shutdown in 2023. Even so, the prediction is not outright. According to the report, Bitcoin could slide to $12,000 or even $10,000. From there, it will stage a strong comeback.

    Additionally, the Bloomberg report highlights policy easing in 2023 as a key bullish trigger for Bitcoin and cryptocurrencies. The analysts say central banks could be forced to ease policy on the back of deflationary outcomes. If this happens, the use case of Bitcoin as a digital version of gold will strengthen. The analysts point out that Bitcoin will start performing like the US long-dated treasury bonds and metal. The scenario will be bullish for the digital asset.

    Bitcoin price movement as moving averages join the support

    BTC/USD Chart by TradingView

    Technically, BTC is mildly bullish and trades along a short-term ascending trendline. The price has, for the first time since November, moved above the 50-day moving average. A potential 20-day MA crossover of the 50-day MA could heighten the recoveries. The RSI reading has safely surpassed the midpoint reading of 50, indicating that buyers are in control.

    What is the likely target for BTC?

    With the upside, Bitcoin now trades below an overhead and crucial resistance at $19,000. Should the current upside continue, the level is the target zone for buyers. Accelerated recoveries will depend on the prevailing crypto sentiment.

    Where to buy BTC

    eToro

    eToro offers a wide range of cryptos, such as Bitcoin, XRP and others, alongside crypto/fiat and crypto/crypto pairs. eToro users can connect with, learn from, and copy or get copied by other users.


    Buy BTC with eToro today

    Binance

    Binance is one of the largest cryptocurrency exchanges in the world. It is better suited to more experienced investors and it offers a large number of cryptocurrencies to choose from, at over 600.

    Binance is also known for having low trading fees and a multiple of trading options that its users can benefit from, such as; peer-to-peer trading, margin trading and spot trading.


    Buy BTC with Binance today

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  • Buying Bitcoin now? What this could mean

    Buying Bitcoin now? What this could mean

    • Bitcoin endured a bear market for the whole of 2022

    • Macro-economic factors have been responsible

    • The bearish market could continue as analysts predicts recession in 2023

    There were high hopes as Bitcoin (BTC/USD) surpassed $68,000 at the tail end of 2021. Investors started to bet on $100,000 as the next price level. Renowned investors, including Ark Invest’s Cathie Woods, gave BTC a price target of $500,000. There is no doubt that such levels can be reached as Bitcoin is still very young, and the potential is huge. But does this mean you should be optimistic in 2023?

    Well, it could be too early to judge, but the macro situation demands that we trim the expectations. For a year now, Bitcoin has been bearish, owing to concerns about economic tightening and impending recession concerns. In fact, analysts predict a negative GDP for the US in the first three quarters of 2023. That will mean a more bearish market for Bitcoin and stocks alike.

    But what does buying Bitcoin now mean? At less than $17,000, BTC is a bargain price. You would count yourself a smart investor should a bull market return. But you may be out of money for a while before that happens. That’s because Bitcoin’s bear market is still ongoing, and you could grab some negative pips before you turn a profit. However, as you may have noticed, BTC has been relatively stable above $16,000. Is this the potential bottom?

    BTC initiates a short-term recovery above $16,000

    BTC/USD Chart by TradingView

    Considering the longer-term bear market, BTC has found stability at the $16,000 support zone. From the daily chart outlook, the cryptocurrency has initiated a recovery at this level. It trades on a short-term trendline. The RSI shifted above the 50-midpoint level on the entry of buyers. 

    Will Bitcoin maintain the recovery?

    We consider short-term rises relief rallies since the BTC price has yet to overcome the longer-term slump. Should the current upside continue, BTC could face resistance at $19,000? However, we remain cautious about buying BTC now as the price remains vulnerable to a bear market.

    Where to buy BTC

    eToro

    eToro offers a wide range of cryptos, such as Bitcoin, XRP and others, alongside crypto/fiat and crypto/crypto pairs. eToro users can connect with, learn from, and copy or get copied by other users.


    Buy BTC with eToro today

    Binance

    Binance is one of the largest cryptocurrency exchanges in the world. It is better suited to more experienced investors and it offers a large number of cryptocurrencies to choose from, at over 600.

    Binance is also known for having low trading fees and a multiple of trading options that its users can benefit from, such as; peer-to-peer trading, margin trading and spot trading.


    Buy BTC with Binance today

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  • NFP payrolls news and its impact on Bitcoin price

    NFP payrolls news and its impact on Bitcoin price

    • Bitcoin price has been in a consolidation phase in the past few weeks.

    • The US will publish the latest non-farm payrolls (NFP) data.

    • Strong jobs numbers will be bearish for BTC.

    Bitcoin price has been in a tight range in the past few months. BTC/USD has remained between last month’s low of about 16,285 and a high of 18,455. Bitcoin has dropped by more than 22% from the highest level in November. 

    US non-farm payrolls data

    Bitcoin price has been in a consolidation phase in the past few weeks. The next key catalyst for the BTC price will be the upcoming American jobs data. Economists surveyed by Reuters believe that the economy added more than 200k jobs while the unemployment rate remained at 3.7%. If analysts are accurate, it means that the economy added millions of jobs in 2022.

    They also expect the data to show that the country’s wages held steady in December. The average hourly earnings are expected to have risen by 5.0% while the participation rate remained at 62.1%. These numbers will come a day after ADP published strong jobs numbers. They showed that the economy added 235k jobs.

    US jobs numbers have an impact on Bitcoin prices because they tend to influence the Federal Reserve. The Fed has a dual mandate to ensure that inflation and unemployment rate are steady. It tends to hike rates when inflation is rising. In 2022, the bank hiked rates by 450 basis points. 

    The NFP payrolls data will come two days after the Federal Reserve published minutes of the past meeting. These minutes revealed that the Fed was considering hiking interest rates in 2023 in a bid to bring inflation lower.

    All signs are that inflation is easing. In December, inflation data showed that consumer prices dropped to 7.3% in November. With gasoline prices and natural gas prices falling, there is a likelihood that inflation eased.

    Bitcoin price will likely drop if the US publishes strong jobs data because it will mean that the Fed will continue hiking rates.

    Bitcoin price prediction

    BTC chart by TradingView

    The four-hour chart showed that Bitcoin has been in a consolidation phase in the past few weeks. As a result, it has remained at 25-day and 50-day moving averages. It is also moved slightly above the Woodie pivot point while the Average True Range (ATR) has pointed downwards.

    Therefore, Bitcoin will likely remain in this range in the coming days as investors wait for the upcoming US inflation data. The key level to watch will be at $15,800.

    eToro

    eToro offers a wide range of cryptos, such as Bitcoin, XRP and others, alongside crypto/fiat and crypto/crypto pairs. eToro users can connect with, learn from, and copy or get copied by other users.


    Buy BTC with eToro today

    Binance

    Binance is one of the largest cryptocurrency exchanges in the world. It is better suited to more experienced investors and it offers a large number of cryptocurrencies to choose from, at over 600.

    Binance is also known for having low trading fees and a multiple of trading options that its users can benefit from, such as; peer-to-peer trading, margin trading and spot trading.


    Buy BTC with Binance today

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