Bitcoin Runs Into Offers Above Price Hurdle Ahead of US Nonfarm Payrolls

Bitcoin retreated to the sub-$37,000 region, having failed to keep gains above the 20-day simple moving average (SMA) early Friday.

The cryptocurrency was priced near $36,800 at press time – down 6% on the day. The 20-day SMA was seen at $38,400.
The four-hour chart shows the cryptocurrency has dived below the uptrend line rising from lows near $33,000, while the relative strength index (RSI) has dipped into a bearish territory below 50.
That shows scope for a deeper decline, which will likely materialize if the U.S. nonfarm payrolls figure due at 12:30 UTC blows past expectations. A substantially higher than expected number could boost the probability of an early scaling back of stimulus by the Federal Reserve.
The data is expected to show the economy added 664,000 jobs in May, far above 266,000 initially reported for April, according to FXStreet.
Likewise, bitcoin may see a recovery if the figure disappoints by a wide margin. That said, the outlook will remain bearish while prices are held under the 200-day SMA at $41,576.

Also read: Bitcoin Drops After Musk Tweets of Breakup

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Omkar Godbole

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