Bitcoin Volatility Flares After US Economic Data Disappointed Bulls

Bulletpoints:
• Bitcoin (BTC) flashed volatility at the Jan. 6 Wall Street open after fresh United States economic data disappointed risk-asset bulls.
• Data from Cointelegraph Markets Pro and TradingView showed BTC/USD dipping to $16,669 on Bitstamp around non-farm payrolls and unemployment figures.
• Analysts are expecting a test of $17k, and believe that there may be some chance of relief for Bitcoin, crypto and the broader risk asset stage in the weeks and months to come.

Bitcoin (BTC) experienced some volatility on the morning of Jan. 6th following the release of United States economic data. The data, which was released in the form of non-farm payrolls and unemployment figures, failed to meet the expectations of risk-asset bulls, and this had an effect on the digital asset’s price.

Data from Cointelegraph Markets Pro and TradingView showed that the BTC/USD pair dipped to $16,669 on Bitstamp following the release of the economic data. The drop in the pair’s price was a sign that investors were cautiously adjusting their positions in anticipation of the possible implications of the economic data.

Analysts are expecting the BTC/USD pair to retest the $17,000 level in the near future. This sentiment is largely driven by the belief that there may be some chance of relief for Bitcoin, crypto and the broader risk asset stage in the weeks and months to come. This could be due to the possibility of interest rate hikes being lessened in their intensity.

The BTC/USD order book on the largest global exchange, Binance, is showing both bid and ask liquidity inching higher. This is an indication that the market is ready for a recovery should the economic data turn out to be more favorable than expected.

Popular commentator Tedtalksmacro commented on the release of the economic data, noting that shorts were unwinding after a quick impulse lower. He was less positive about the unemployment figures, arguing that it had a less clear implication for the Federal Reserve’s monetary policy.

Overall, Bitcoin continues to be volatile in the face of fresh economic data. Analysts are expecting a test of $17k in the near future, and investors will be keeping a close eye on the digital asset’s price reaction to further economic news.