Bitcoin Poised for New All-Time High Next Week Amid Economic Shifts
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Markus Thielen, head of research at 10x Research, highlighted in a June 4 report that "another critical and forward-looking job metric, job openings, slowed down significantly." The U.S. Bureau of Labor Statistics' Job Openings and Labor Turnover (JOLT) report for April showed 8.1 million job openings, with around 0.8 unemployed persons per job opening, marking the highest ratio since February 2021.
Inflation's Impact on Bitcoin
Thielen emphasizes that these economic signals may lead to lower inflation, a bullish indicator for Bitcoin. Following a 0.1% decrease in the U.S. Consumer Price Index (CPI) on May 15, Bitcoin surged 7% over the next five days, reaching $71,432, as per CoinMarketCap data. Thielen believes that another 0.1% decrease in CPI to 3.3% could yield a similar boost.
"A weaker surprise could bring back rate cuts, and next week, we will get the CPI inflation report. If CPI [year-on-year] is 3.3% or lower, it will likely push Bitcoin to new all-time highs," Thielen noted.
Key Dates to Watch
Bitcoin has recently broken out of a key consolidation triangle, and a close above this level, combined with lower U.S. inflation or employment figures, could pave the way for Bitcoin to surpass its current all-time high of $73,679 between June 7 and June 12.
The U.S. Bureau of Labor Statistics will release the Employment Situation Summary on June 7, followed by the CPI data on June 11. These dates are crucial for traders and investors looking to capitalize on potential market movements.
By keeping an eye on these economic indicators, traders can position themselves to maximize their gains as Bitcoin approaches what could be a significant milestone.