Bitcoin Holds at $30,300, But Analysts Say It Could Correct Downside in the Short Term

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(Kitco News) – The crypto market traded flat to end the work week as the latest jobs report came in below expectations, but the fact that more than 200,000 jobs were added as the unemployment rate fell and wages continued to rise was a signal for investors. that the Federal Reserve is likely to go ahead with further interest rate hikes.

Stocks were in the green for most of the trading day but started to lose momentum as the closing bell approached, eventually finishing lower as investors hesitate to go all-in due to multiple economic headwinds. At market close, the S&P, Dow and Nasdaq all ended in the red, down 0.29, 0.55 and 0.13%, respectively.

Data provided by TradingView shows Bitcoin (BTC) bears attempted to break support at $30,000 in the early hours of Friday, taking BTC back to lows of $29,805 before the bulls rallied the defenses and pushed it back. above support at $30,300 in afternoon trade.

BTC/USD chart by TradingView

The decline drove Bitcoin futures prices lower in July at the start of U.S. trading, according to Kitco’s senior technical analyst Jim Wyckoff, who noted that “bulls lost a bit of strength in late week”.

1-day Bitcoin futures chart. Source: Kitco

“The bulls still have the overall short-term technical advantage, but now need to step up and show new power soon, to keep their edge,” Wyckoff said.

For MN Trading founder Michaël van de Poppe, Friday’s BTC price action is a warning sign that it could go lower in the near term, leading him to suggest that a “sweep $29,500 to $29,700 seems inevitable.”

Interesting. Pas bueno at $30,200 for #Bitcoin, through which a sweep of $29,500-29,700 seems inevitable. pic.twitter.com/KLy5nw7Dmn

— Michal van de Poppe (@CryptoMichNL) July 7, 2023

Market analyst Rekt Capital corroborated this view, saying that Bitcoin has “lost its mini parabola”, meaning that “a macro drop towards the level of around $29,250 is more likely at this time, especially if this mini-parabola switches to a new resistance”.

BTC/USD 1-day chart. Source: Twitter

And Crypto market analyst Tony said that from a macro perspective, Bitcoin bulls need to hold $25,000 in order to support the bullish narrative that has been developing in recent weeks.

$BTC / $USD – Macro Update

$25,000 is the level that bulls need to hold on the macro timeframe to sustain this macro bullish position

IF we start to lose that, then the lower goals come back into effect. Something to consider pic.twitter.com/GxTqfgWt31

— Crypto Tony (@CryptoTony__) July 7, 2023

Mixed trade altcoins

It was a mixed day for the altcoin market, with the top 200 tokens split evenly between winners and losers, while the majority of tokens saw only a slight price change on Friday.

Daily performance of the cryptocurrency market. Source: Coin360

Notable gainers include Ocean Protocol (OCEAN), Bone ShibaSwap (BONE), and Verge (XVG), which gained 14.71%, 12.56%, and 8.55% respectively, while NMY (NMY), MobileCoin (MOB) and Frax Share (FS) all posted losses of 6.5%.

The overall cryptocurrency market cap now stands at $1.18 trillion, and Bitcoin’s dominance rate is 49.9%.

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure the accuracy of the information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. This is not a solicitation to trade commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article accept no responsibility for loss and/or damage resulting from the use of this publication.

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