- Bitcoin price slipped as energy costs jumped amid the ongoing US-Iran war.
- The US will publish the latest non-farm payrolls data later on Friday.
- Economists expect the data to show that the economy added 60k jobs in March.
Bitcoin price was in the red on Friday as concerns about Donald Trump’s war against Iran continued, pushing crude oil costs higher, ahead of the upcoming US non-farm payrolls (NFP) data. BTC dropped to $66,300, down sharply from its all-time high, with traders focusing on the upcoming non-farm payrolls (NFP) report.
Bitcoin Price at Risk Ahead of the US NFP Data
BTC remained on edge as market participants waited for the March non-farm payrolls (NFP) data, which comes out on Good Friday.
Economists polled by Reuters expect the report to show that the economy reversed the job losses experienced in February when the economy shed over 92,000 jobs.
Data compiled by TradingEconomics shows that the economy likely created 60k jobs in March. This increase, while encouraging, will be because of the healthcare sector, where thousands of employees from Kaiser Permanente returned to work from a major strike.
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The report predicts that the unemployment rate rose slightly from 4.4% in February to 4.5% in March. Also, the participation rate is expected to come in at 62.3%, a modest improvement from the previous 62%.
The US labor market has been significantly soft under President Donald Trump as companies have remained on edge because of his policies, including on tariffs and the ongoing Iran war.
In particular, the manufacturing sector has continued to deteriorate in the past few months despite his tariffs, which were meant to create more of these jobs. Economists expect the upcoming report to show that the manufacturing sector lost over 7k jobs in March.
The labor market has an impact on Bitcoin prices because it is one-half of the Federal Reserve’s dual mandate. In theory, a positive NFP report should be bearish for Bitcoin and other altcoins as this would boost odds of a hawkish Fed.
However, the upcoming report will likely have a minimal impact on Bitcoin and the crypto market. For one, the report comes on a day when many people are not trading because of the Good Friday holiday.
Also, many market participants are focusing on the ongoing Iran war that has pushed crude oil prices higher, raising concerns about inflation. The West Texas Intermediate (WTI) has jumped to $111, while Brent has moved to $109. It is the first time that the US benchmark has become more expensive than Brent in a long time.
Therefore, analysts expect the US consumer inflation will continue rising, with the OECD expecting it to move to 4.2% by the end of the year. One reason for this is that the Iran war will take longer than Trump’s two weeks plan as Iran will have a say on when it will end.
Bitcoin Price Prediction: Technical Analysis
The three-day chart is signaling that Bitcoin price may be on the cusp of a strong bearish breakdown in the coming days or weeks.
It has formed a small head-and-shoulders pattern, which often leads to a strong bearish breakdown. Also, the coin is in the process of forming the second bearish flag pattern since October last year.
Bitcoin remains below the important support level at $74,568, its lowest level in April last year. It also formed a death cross pattern.
Therefore, the most likely Bitcoin price prediction is bearish, with the next immediate target being at $60,000, the lowest level this year. A drop below that level will point to more downside, potentially to $50,000.
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