Crypto crash: The cryptocurrency market experienced a downturn, with Bitcoin dropping to $69,421 and Ethereum to $3,688 after U.S. employment data exceeded expectations.
Yesterday’s crypto crash led to a market “shakeout,” where investors sold due to uncertainty. However, crypto enthusiasts view this as a temporary setback, anticipating a “bullish continuation.”
The U.S. Employment Situation Summary Report showed mixed results, with an increase in part-time jobs causing the unemployment rate to rise to 4.0%.
Traders are now watching key support levels.
Crypto Crash: Mixed Signals in Employment Data
The U.S. Employment Situation Summary Report indicated an unexpected rise in job numbers, contradicting analysts’ forecasts. They had anticipated that a weaker employment report would pressure the Federal Reserve to lower inflation rates, potentially boosting Bitcoin.
Despite the surprising data of the Crypto crash, Markus Thielen, head of Research at 10x Research, does not believe the employment report is the direct cause of the crypto market’s decline. He noted that the sell-off occurred at the end of Friday without a clear catalyst and described the employment data as “mixed,” with the unemployment rate rising to 4.0% but with a surge in part-time job additions.
Crypto crash: Traders Keep an Eye on Support Levels
Crypto traders are now closely monitoring key support levels during the Crypto crash. If these levels hold, it could signal the start of the anticipated bullish trend. Over the past 24 hours, Bitcoin has seen a 1.99% decrease, and Ethereum has declined by 3.22%. Altcoins have faced even steeper losses, with PEPE dropping by 10.54%, Solana by 4.89%, and DOGE by 7.88%.
However, in the broader picture, Bitcoin has risen by 11.06% over the past 30 days, suggesting a resilient underlying trend.
Optimism Among Traders Despite Crypto Crash
Despite the recent shakeout, some traders remain optimistic about the future of the cryptocurrency market. They suggest that the current decline may present a buying opportunity, with the belief that the “real bull market hasn’t even started yet.”
Also Read: BTC Price Chart Paints Critical Picture. Is BTC run over?
