Bitcoin has rebounded nearly 10% from its July 1 low as weak U.S. jobs data, lower oil prices, and a weekend short squeeze pushed traders back toward risk assets.
Summary
- Bitcoin rebounded nearly 10% as weak U.S. jobs data boosted expectations for Fed rate cuts.
- ETF inflows returned after a prolonged outflow streak, while lower oil prices added to risk appetite.
- Analysts identify $64K as the key resistance, with $62.5K remaining the critical support level.
According to data from crypto.news, Bitcoin (BTC) price traded near $62,990 on July 6 after climbing from $58,293 earlier in the week to an intraday high near $64,000. The move followed a weaker-than-expected U.S. nonfarm payrolls report, which showed only 57,000 jobs added in June against forecasts near 110,000.
The miss reduced expectations for more Federal Reserve tightening and helped ease pressure on non-yielding assets. Crude oil traded below $69 per barrel on Monday as energy flows through the Strait of Hormuz recovered, and OPEC+’s planned 188,000-barrel-per-day production increase fueled concerns over a supply glut.
Spot Bitcoin ETFs added to the recovery after snapping a 10-day outflow streak with more than $220 million in net inflows. The rebound came after June produced more than $4.5 billion in redemptions and pushed sentiment into extreme fear, with the Crypto Fear & Greed Index falling to 11.
Bitcoin’s rebound faces its first major resistance near $64,000
The daily chart shows Bitcoin testing the 0.236 Fibonacci retracement level at $63,994 after bouncing from the June low zone near $58,187. A clean daily close above that level would open the next resistance area near $67,587, followed by $70,491 and $73,395.
Bitcoin has also pushed back into a descending channel that has capped price action since the May high near $82,795. The latest candle is struggling near the channel’s upper boundary, making the $64,000 region the first key test for buyers.
Momentum has improved but not fully flipped bullish. The daily MACD histogram has turned positive at about 661, while the MACD line remains below the signal line. RSI has recovered to 49, just under the neutral 50 level, after rising from oversold territory in June.
On the 4-hour chart, Bitcoin is holding above the Supertrend support near $61,530, while the Aroon Up reading stands at 78.57 against Aroon Down at 7.14. The setup shows buyers have regained short-term control, though price remains below the next heavy resistance band around $64,000 to $65,000.
According to analyst Ted Pillows, the $62,500–$62,800 support zone remains the level to watch.
“$BTC is holding above the $62,500-$62,800 support zone. Spot selling has definitely accelerated, so this support zone is very crucial. If it holds, Bitcoin’s next stop would be around $65,000.”
Liquidation clusters leave Bitcoin exposed on both sides
CoinGlass’ three-day liquidation heatmap shows dense upside liquidity between $64,000 and $65,300, with another pocket near $66,000. A push through $64,000 could trigger another round of forced buying if short positions remain crowded above spot.
Downside liquidity is also visible near $62,000, $61,500, and $60,000. Those levels match the support areas identified by traders after Bitcoin’s quick move higher.
Commenting on the matter, analyst Lennaert Snyder noted that Bitcoin had already pushed into the final short point of interest and warned that the bounce lacked strong spot follow-through.
“I’m still in my swing-short from 63.2K, and willing to add if we get a clean break of ~62.5K,” Snyder wrote, adding that the move appeared to be driven mainly by short closing rather than fresh spot demand.
The invalidation zone for the bullish case now sits around $62,500. A 4-hour close below that area could pull BTC toward $61,500, then $60,300 and $58,800, which Snyder listed as potential targets.
Macro risks remain active as well. A stronger July CPI print, hawkish Federal Reserve minutes, or renewed energy-market stress could revive dollar strength and pressure Bitcoin again. Supply risks from Mt. Gox repayments and government liquidations also remain unresolved.
For now, Bitcoin’s recovery depends on whether buyers can defend $62,500 and convert $64,000 into support. A failure there would leave the rally looking like a short squeeze inside a still-fragile downtrend.
Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only.
