Bitcoin rallies on the back of Bullish US unemployment data
The US unemployment rate came in lower than forecasted, causing Bitcoin to rally.
After failing to close below $60k early Friday morning, Bitcoin began to show strength, trending upward just before the release of US unemployment data. As expected, the event brought significant volatility, with BTC initially reaching $62k but quickly dropping to $60.8k following the report. Once the market digested the data, Bitcoin rallied to a high of $62.5k.
As mentioned yesterday, a drop in unemployment was expected to signal economic strength. The forecasted rate was 4.2%, but the actual figure of 4.1% sparked a rally across the crypto market. This data may have been what Bitcoin needed to shift sentiment from bearish to bullish.
During times of pullbacks and market uncertainty, when price directions are unclear, these are key moments to allocate funds and dollar-cost average (DCA) into spot Bitcoin positions. It’s also a good opportunity to explore altcoins that have shown recent strength such as FTM, SEI, SUI.
Stormrake Spotlight: Solana ($142.62)
Solana (SOL) is still trading within the lower half of the wide range mentioned yesterday, with the bottom of the range at $125 and the top at $170. Continuing to DCA at these levels could yield strong gains when the market resumes its bullish momentum. Remember, the long-term structure for both Bitcoin and Solana remains bullish, and this short-term correction should be seen as a buying opportunity.
BTC/USD Key Levels and Price Action:
Bitcoin failed to close below the key $60.1k level and used it as a strong bounce point, currently up 3% from this level. BTC has flipped all middle monthly CPR levels, as well as the 21 and 55 EMAs, leading to a bullish cross (21 EMA above the 55 EMA). However, it faces resistance at the 200 EMA around $62.5k, a key hurdle to watch. If Bitcoin can clear this level, we may see a retest of the significant $63.8k resistance.
BTC Total ETF Flows for 4 Oct: $ + 6.7 million
(ETF flow data is sourced from https://farside.co.uk/btc/ and reflects figures at the time of writing.)
ETH/USD Key Levels and Price Action:
Ethereum is benefiting from Bitcoin's rally but remains in a weaker position. ETH is still below all middle CPR levels, unlike Bitcoin, which is above them. While ETH broke above the 21 and 55 EMAs, it failed to trigger a bullish crossover. Ethereum continues to lag behind both Bitcoin and Solana. The nearest support levels for ETH are the 21 and 55 EMAs, located just below the current price. If Ethereum can hold above these, it may attempt another break into and above the middle CPR levels to the key level of $2,556.
ETH Total ETF Flows for 4 Oct: $ - 7.3 million
(ETF flow data is sourced from https://farside.co.uk/eth/ and reflects figures at the time of writing.)
Written by Alexandar Artis
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