Bitcoin’s price is doing a delicate dance today, pushing up to $61,600 during the European session before settling back to $61,300, which marks a 1% gain for the day. But while traders are cautiously holding their positions, all eyes are glued to the U.S. Bureau of Labor Statistics as it gears up to drop its September jobs report at 8:30 a.m. ET. This report could send shockwaves through crypto land because its ripples may heavily impact the Federal Reserve’s next policy move.
Crypto Prices Lift Slightly, but Overall Slump Stings
Meanwhile, Ethereum isn’t lagging too far behind. It saw a modest 1.1% bump, landing around $2,375. But the broader picture is a sea of red. Over the past seven days, Bitcoin is down a rough 7%, and Ethereum’s looking at an even steeper 11% dip, per CoinGecko’s data. That means any positive numbers in the jobs report might nudge the market toward recovery, but nothing’s for sure just yet.
Analysts are closely watching the report because it could hint at how aggressive the Fed will be with interest rate cuts next month. A steady labor market, with economists predicting only a slight drop in new payrolls from 142,000 to 140,000, might ease fears of rapid rate hikes. The Fed’s moves, in turn, will likely be mirrored in crypto prices.
CryptoQuant Sees Hope Amidst the Chaos
While the market has been turbulent, the good folks at CryptoQuant are seeing some promising signs. Their Coinbase Premium Index is flashing green, pointing to a sustained appetite from U.S. investors. They note, “U.S.-based demand is strong,” signaling that Bitcoin’s daily moving average just crossed above the weekly one. In crypto speak, that’s usually a solid indicator that prices could be gearing up for a comeback.
Still, the market isn’t all roses. Spot Bitcoin ETFs recorded their third day of net outflows on October 3, with $54.1 million leaving the scene. Yet, amidst the carnage, some funds, like IBIT, reported inflows of $35.9 million. That shows investors aren’t entirely spooked, even with Ethereum ETFs taking a hit.
Institutional Hands in the Cookie Jar
It’s not just your retail traders moving things around. Institutional desks are shaking the crypto tree, and data’s showing they’ve been offloading Bitcoin, contributing to its dip from $65,000 to $61,000. But now that those big wallets are starting to rebuild, selling pressure is easing, potentially signaling calmer waters ahead. Analysts at 10x Research say, “The sell-off is running out of steam.” They’re placing bets on historical patterns, noting that Bitcoin tends to reverse these declines between the 5th and 7th of the month.
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