The financial world is on high alert because Bitcoin is getting close to $85,000. This means that fewer Americans are being affected by the ongoing economic instability such as the effects of higher US tariffs. At the same time data on US initial jobless claims has made things more tense by showing that the job market is surprisingly strong. Claim numbers are only 215,000 which is less than the expected 225,000. Investors are weighing their hopes for risky investments against worries about the tightening economy and the instability in geopolitics.
Falling jobless claims signal labour market strength
The number of ‘jobless claims’ in the US decreased to 215,000 as of April 17. This supports the idea that the job market is “resilient.” This means that fewer Americans are being affected by the ongoing economic instability, such as the effects of higher US tariffs.
Fed holds steady amid fears of inflation
In a recent press meeting on April 16, Federal Reserve Chair Jerome Powell discussed the current state of the economy and pointed out the unexpected size and effects of tariff increases. Powell made it clear that the Federal Reserve has no quick plans for rate cuts or meddling in the market.
Bitcoin at Technical ‘Inflection Point’
Titan of Crypto, a crypto trader, says that Bitcoin is now at an “inflection point.” This is an essential time when the market is ready for a big move. RSI is pushing above 50 and testing resistance on the 1-hour chart, which shows that BTC is consolidating within a triangle pattern.
ECB Eases While US Firm
The European Central Bank (ECB), on the other hand has lowered interest rates from 2.50 percent to 2.25 percent. This is the seventh time in a year that the ECB has done this. With this move, interest rates on loans are the lowest since late 2022, and the goal is to “counteract economic pressures from US tariffs.”
Conclusion
The next few days could be essential because big-picture economic forces clash, and Bitcoin is coiling at a key barrier. A prolonged push above $85,000 could start a new wave of bullishness, but if it fails, it could lead to a reversal.
