Bitcoin Stuck in Death Cross Despite Jobs Report Boost

The US labor market saw a surprise downturn in July, as employers cut 23,000 jobs, the first net loss since the pandemic-era recovery. This sharp miss against economists' expectations of 95,000 new jobs pushed the odds of a September rate hike down to 40% from 55%.

The Federal Reserve's softer path is often seen as a positive sign for risk assets and crypto, but Bitcoin's chart shows a market that hasn't yet recovered. The cryptocurrency is trading at $64,938, up 1.06%, but still below its two key moving averages.

Bitcoin's trajectory is downward, with the 50-day EMA below the 200-day EMA in formation traders call a death cross. The Relative Strength Index reads 54.6, indicating neutral momentum, neither overbought nor oversold.

A softer Fed and weak dollar could provide the push needed for a breakout, but Bitcoin's price has failed to reclaim its trend. A break below $60,000 would confirm the bearish structure and point back to the July low of $58,000.