Analysts: Bitcoin's move depends on Fed rate cut expectations

PANews reported on June 5 that as the price of Bitcoin fluctuated around $105,000, Bitfinex analysts pointed out that if the U.S. jobs report released on Friday shows a slowdown in labor market growth, the number of new non-farm payrolls is expected to be between 125,000 and 130,000, down from 177,000 in April, which may prompt the Federal Reserve to cut interest rates early, thereby boosting Bitcoin to the range of $120,000 to $125,000. Conversely, if the employment data is strong, the price of bitcoin could fall back to around $95,000.

At the same time, BRN's chief research analyst Valentin Fournier is pessimistic, believing that the accumulation of bearish signals, including reduced ETF inflows, weakening momentum, and a surge in crypto IPOs, indicates that the market is profit-taking. He pointed out that Circle's and Kraken's fundraising and IPO plans hint at crypto companies taking advantage of the high valuation window, which is a harbinger of future growth or slowdown. In addition, spot crypto ETF inflows in the U.S. have decreased, with Bitcoin and Ethereum ETF inflows falling sharply, and prices have also fallen. Fournier believes that this is a sign that the market is running out of momentum, and recommends reducing risk exposure and moving to a defensive strategy.

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