Bitcoin Approaches January High After $85,000 Sell Wall Clears and US Jobs Data Misses Expectations

WHY IT MATTERS

Think of a sell wall like a long line of people all trying to sell their houses at the same price in a neighborhood. Until all those houses are bought, prices in that area stay flat. Once all those sellers are satisfied, prices can start moving again. In Bitcoin's case, a large number of sellers had placed orders at $85,000, and once those orders were filled, the price was free to climb higher. The US jobs report matters to crypto because it gives clues about the broader economy. When fewer jobs are created than expected, it can signal a slowing economy, which may lead the Federal Reserve (the US central bank) to adjust interest rates. Lower interest rates generally make riskier assets like cryptocurrencies relatively more attractive compared to traditional savings, because savings accounts and bonds pay less.