Bitcoin and Ethereum Price Prediction | US ADP Non-Farm Employment Change in Focus
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The price of Bitcoin has mostly remained steady during the Asian session, settling in a constrained range between $16,750 and $16,950. The second-largest cryptocurrency, Ethereum, also struggled to maintain its position above $1,260 and dropped down into the $1,250 trading zone.
Despite the fact that the market cap of all cryptocurrencies rose by 1.21% to $820.08 billion the previous day, major cryptocurrencies were trading in the red early on January 5.
The total volume of the cryptocurrency market increased by 30.28% to $35.35 billion over the previous day. The $2.19 billion total volume of DeFi at this time represents 6.18% of the 24-hour volume of the entire crypto market. Currently, the total 24-hour volume of the cryptocurrency market is $32.90 billion, or 93.07% of the total volume of all stablecoins.
US ADP Non-Farm Employment Change in Focus
The Automatic Data Processing, Inc. will release a monthly economic indicator later today. It estimates changes in nonfarm private sector employment in the United States, excluding the government sector, and is typically released two days before the NFP Report.
The number of employment created by private companies in the US in November 2022 was 127K, the lowest number since January 2021 and much lower than the 200K jobs predicted by the market. During this time, annual salary rose by 7.6%.
"The numbers show that the Fed's tightening is impacting wage growth and job creation. Additionally, businesses are no longer in a hyper-replacement situation. Fewer people are giving up, and the post-pandemic recovery is stabilizing "based on Nela Richardson, senior economist at ADP.
A bearish trend in cryptocurrencies is often driven by stronger non-farm ADP statistics, and vice versa.
Bitcoin Price
Bitcoin's price is at $16,818 and there have been $14 billion in transactions during the previous day. Bitcoin was unable to surpass the double-top resistance level of $16,930, and a closure below it is likely to start a negative downturn that will last until the $16,775 support area. BTC is still positive on the 4-hour time frame due to an upward channel; therefore, a fall in BTC could occur if it closes over $16,775.
Source - CoinMarketCap
Ethereum Price
Ethereum currently trades at $1,250 and has a $5 billion 24-hour trading volume. The Doji candle closing below this level suggests that the positive trend for the ETH/USD pair is weaker because it has been difficult to break above $1,260. The next support level is probably at $1,230, which corresponds to the 61.8% Fibonacci retracement, and as a result, ETH may decline to $1,245 to complete the 38.2% Fibonacci retracement.
Source - CoinMarketCap
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