Why Bitcoin is shaking at $30K support levels

Bitcoin fell below $30,000 for the first time in almost two weeks after a disappointing ADP private sector jobs report and a disappointing ISM services index, before rebounding slightly late Friday morning.

Crypto investors gleaned more information from the better-than-expected ADP Private Sector Employment Report and the surprisingly resilient ISM Services Index than from the sluggish job search.

In the last 24 hours, he had 51,608 traders liquidated, bringing the total liquidation he made to $171.27 million. The largest single liquidation order occurred on Binance – $1.97 million in ETHUSDT equivalent

Bitcoin fell below $30,000 for the first time in almost two weeks following positive news from the world’s largest economy. The largest cryptocurrency by market capitalization recently fell 1.3% over the past 24 hours, recovering to $30,100. The drop comes just hours after bitcoin hit a three-month high above $31,500, an optimistic sentiment bolstered by multiple spot bitcoin ETF applications over the past month.

Investor sentiment continues

Markets are hopeful that the U.S. Securities and Exchange Commission (SEC) will change the pattern of rejecting applications by some of the world’s top financial services companies. But on Thursday, fears about economic growth, a precursor to inflation, overtook any euphoria.

Ether followed a similar downward trend, falling sharply from its peak above $1,950 following an ADP report showing that the private sector added 497,000 jobs, more than double many expectations. The ISM Services Index rose to 53.9 in June, beating consensus expectations of 51.2 and May’s 50.3.

More insights

The report gives the Fed another impetus to justify further rate cuts to curb inflation. Such restrictive stances often weigh heavily on cryptocurrency and other asset markets amid growing fears that the U.S. Federal Reserve (Fed) could plunge the economy into a deep recession.

Still, it’s been a good year for the mainstream crypto asset. Bitcoin (BTC) posted a second consecutive quarter of positive returns, ending the first half of 2023 in the black, according to data from cryptocurrency information platform Coinglass.

The major crypto asset returned 71.77% in the first quarter and ended the second quarter with a 7.19% return. The last time the flagship crypto recorded two consecutive green quarters was in Q3 and Q4 of 2021, at 25.01% and 5.45%, respectively. This is an important development as the digital market appears to be recovering from the bearish period that lasted most of 2022.