After reaching $28.6k on Monday, bitcoin has lost its momentum thereafter and has been unable to properly reclaim $28k. Bitcoin’s 200-day moving average and the upper bound of ichimoku’s cloud, both of which are fluctuating around the $28k psychological level, have proven to be tough resistances for the price this week amid mixed U.S. labor market data.
Thursday’s initial jobless claims increased from the previous week and the price of bitcoin briefly surpassed $28k, but the market seems to have made some evasive maneuvers ahead of September’s jobs report, which is expected to show a minor improvement in unemployment. As a result, the price dropped from $28.1k to around $27.4k during Thursday’s U.S. session.
Bitcoin’s breakout from the aforementioned resistances could be dependent on the results of Friday’s jobs report. A successful breakout would trigger strong buy signals for bitcoin, and the price could test $30k. Nothing certain could be said until we see the result of the jobs report, but if the numbers come in weaker than expected, the probability for the Fed to declare the end of rate hikes in November could increase.