On September 5, Bitcoin was trading at $19.7 thousand, over the past week the price of the Cryptocurrency has not changed much – it has grown by 0.6%.
The week from August 29 to September 4 was relatively calm. Throughout the week, the price was trading in the range of a thousand dollars between $19.5 and $20.5. The Bitcoin rate decreased to the lower border of the channel of $19.5 thousand against the backdrop of falling stock indices and the strengthening of the dollar on Forex. The price was recovering to the upper border of the channel against the backdrop of rising indices and a decrease in the dollar index.
Since the beginning of the week, digital assets have been under pressure in anticipation of new signals regarding the Fed’s monetary policy and Friday’s report on the US labor market for August. The Chinese authorities also made traders nervous by announcing a lockdown in Chengdu due to the outbreak of COVID-19.
Analysts expected that after a weekly consolidation, the price would break out of the range of $ 19.5-20.5 thousand after the publication of the report on the US labor market for August on Friday, which also attracts the attention of the Fed, therefore, before the September meeting, indices and Cryptocurrency could show strong changes.
On Monday, volatility increased in all markets of debt, currency, stock, and Crypto, but the BTC/USDT pair remained to trade in its range of about $20 000.
The August report turned out to be better than expected as in August the number of non-farm payrolls in the US increased by 315 thousand against rates of 300 thousand. The data for July was revised downward to 526 thousand. The largest growth was observed in the sectors of professional and business services, healthcare, and retail.
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The unemployment rate rose from 3.5% to 3.7%, and average hourly earnings increased by 5.2% compared to last year. The rise in wages came amid soaring inflation and fears of a slowdown in the economy.
The US dollar fell after the release of the data, and stock indices rose the same as Crypto. The report speaks of a possible rate hike at the September meeting by 50 basis points with a probability of 43%, by 75 bp. – 57%.
For the week from September 5 to September 11, the situation for the Cryptocurrency market remains uncertain. The SP500 index is near the trend line and could fall even lower as the energy crisis in Europe intensifies on the news that Gazprom has suspended natural gas pipeline deliveries to Europe indefinitely.
Cryptocurrency as a whole does not depend on the global gas market, but since it has taken root in the global financial system, now any significant events in the market are taken into account by traders and investors.
Of course, if the $18-19 thousand zone does not resist, then a new wave of Cryptocurrency sales will begin in search of levels to take a wait-and-see position before the US Federal Reserve meeting.
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