Bitcoin bottoms at $16,800 as macro data favors

The data on nonfarm payrolls and unemployment in the US came out today, which caused some volatility in the markets.

According to the Cryptocurrency Screener Cryptovizorwhich determines the market price of BTC/USD based on the results of trading on the largest spot exchanges, today the bitcoin rate first fell to $16,679 and then rose to $16,854. At the same time, the cumulative delta remained negative.

12 hour bitcoin chart. Source: Cryptovizor

Both macroeconomic indicators (data for December) were better than expected:

  • employment in the non-agricultural sector amounted to 223 thousand (forecast 200 thousand, the previous value of 263 thousand);
  • unemployment corresponded to 3.5% (forecast 3.7%, the previous value of 3.7%).

Atlanta Federal Reserve Bank President Raphael Bostic declaredthat the Fed still needs to raise interest rates. He believes that the next increase should be in the range of 25-50 basis points, however, throughout 2023, the rate should be kept at a maximum level of 5-5.25% (the current value corresponds 4.50%).

Raphael Bostic

This news cheered up the bulls, who prefer risky assets. Analytical resource Material Indicators wrote on Twitter that he is waiting for a $17,000 bitcoin test.

Popular Twitter Trader Trend Rider noticed to the Point of Control (POC) data on the weekly BTC/USD chart. POC is an indicator of the price level that showed the largest trading volume for a certain period:

  • The 100-week POC was $16,800;
  • 200-week POC – $9,200;
  • 300-week POC – $3,700.
Bitcoin 1 week chart and Point of Control levels. Source: Trend Rider

Trend Rider concluded that Bitcoin is currently bottoming out at $16,800.

It is clear that this is an optimistic point of view, and the views of many analysts are now rushing lower. Interestingly, the second of the indicated POC levels fits well with the forecast given by another well-known trader, Crypto Tony, on New Year’s Eve. He suggestedthat the bear market bottom for major cryptocurrencies would be:

  • BTC – $10,000 – $8,000
  • ETH – $500 – $300
  • SOL – $7.0 – $5.0
  • LINK – $3.0 – $1.50
  • DOT – $3.50 – $2.50
  • BNB – $150 – $100
  • MATIC – $0.25

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