Bitcoin price analysis ahead of US non-farm payrolls data

Bitcoin price held steady on Thursday as investors focused on the upcoming US non-farm payrolls data scheduled for Friday this week.

Bitcoin (BTC) token was trading at $72,450, up by 20% from its lowest level this year, meaning it has moved into a local bull market. 

The recent rebound started on Wednesday after reports that Iran had reached out to the Americans to end the war. Still, the odds of a ceasefire happening in the near term are slim as the three sides commit to fighting. This explains why Brent and West Texas Intermediate jumped to $84.15 and $78.

Bitcoin price will next react to the upcoming US non-farm payrolls data, which will come out on Friday. Economists polls by Reuters expect the upcoming report to show that the labor market softened in February.

The average estimate is that the economy created 70k jobs, much lower than the 110k it created in January. They also expect the report to reveal that the unemployment rate remained unchanged at 4.3%.

These numbers are important as the Federal Open Market Committee will meet on March 17 and 18. Economists believe that the bank will leave rates unchanged between 3.50% and 3.75%. 

A weak NFP report may push some Fed officials to support a rate cut. In a statement on Wednesday, Stephen Miran maintained that the bank should slash rates, citing the jobs market.Fed officials are concerned about inflation, which may accelerate because of the ongoing war in the Middle East. 

Bitcoin and other cryptocurrencies experience more demand when the Fed is cutting interest rates. 

Bitcoin price forecast: Technical analysis 

BTC price has staged a comeback recently, moving from the year-to-date low of $60,000 to $72,700. It has moved above the crucial resistance level at $71,000, its highest level on February 15. This price was also the neckline of the inverted head-and-shoulders pattern.

The coin has already flipped the Supertrend indicator from red to green and moved above the 50-day Exponential Moving Average.

It is also hovering near the 23.6% Fibonacci Retracement level, which is drawn by connecting the all-time high and the lowest level this year.

The most likely Bitcoin price prediction is bullish, with the key target being the psychological level at $80,000. On the flip side, a drop below the key support level at $70,000 will cancel the bullish outlook.