Bitcoin Price Not Spared by the USD’s Strength; Breaks Short-Term Uptrend

Bitcoin price, like most of the major currencies, has not been spared by the dollar’s strength. After the stellar US NFP report for June came out yesterday, BTCUSD fell from $9,260.00 to a low of $8,939.00. By the end of yesterday’s trading, bitcoin price had settled at $9,092.92 which is 1.52% lower from where it opened.

According to the Bureau of Labor Statistics, there were 4.8 million jobs created during the month of June which was more than the 3.037 million forecast initially anticipated. Meanwhile, the unemployment rate ticked lower at 11.1% versus the consensus at 12.4% and the reading for May at 13.3%.

With such impressive figures which inspired confidence among market participants, BTCUSD traded lower. The cryptocurrency broke support at the rising trendline (from connecting the lows of June 27, June 30, and July 1). As of this writing, bitcoin price has recouped some of its losses back to the 50% Fib level when you draw the Fibonacci retracement tool from the high of July 1 to the low of July 2. If resistance at the Fib levels hold, we could soon see the cryptocurrency extend its losses to $8,830.63 where it bottomed on June 27.

On the other hand, a strong bullish close above the 100 SMA and 200 SMA at $9,158.63 could mean that BTCUSD may soon retest the broken trendline for resistance at $9,227.00. If resistance at this price does not hold, the next ceiling could be at $9,300.00 where BTCUSD topped on July 1.

Bitcoin Price, 1-Hour Chart

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