As per the data from CoinMarketCap, Bitcoin has crossed $17,000 mark for the first time in 2023. The crypto market volume saw a jump of over 100% and stood at $15 billion in the last 24 hours.
Demand for the wlorld’s largest cryptocurrency shot up with weakness in the dollar after nonfarm payrolls data released on Friday showed that the U.S. jobs market was cooling. This gives the Federal Reserve less economic headroom to hike interest rates at a sharp clip.
Dhruvil Shah, SVP Technology of Liminal, a digital wallet infrastructure platform, said: “The latest US jobs reports revealed that the unemployment rate has gone down significantly and is reversed to pre-covid levels. The dip in the unemployment rate was perceived as a macro boost which resulted in a surge in US and European stocks along with the crypto market.”
Dhruvil pointed out that Bitcoin broke major resistance level of $16,800 and $17,000 for the first time in 2023 and it could rise further towards the next hurdle which is at $18,000 resistance.
“Most of the crypto assets witnessed mini-rally due to the positive investor sentiment driven by favourable macro-economic factors. It will be interesting to see how Fed reacts in its next meeting in February, which will decide the future course of the financial and crypto market,” Dhruvil added.
Ethereum also rose to an over three-week high, rising 4% and breaking above the $1,300 level for the first time since mid-December.
At the time of press (8:00 AM ET), Bitcoin was trading at $17,257.77 while Ethereum was trading at $1,319.73. Bitcoin is up 1.90% in the last 24 hours with a market cap of $332 billion.
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