BTC holds key support while macro conditions drive investor sentiment
Bitcoin (BTC) traded at $110,525 on Tuesday, posting a modest 1.13% gain after bouncing from crucial support near $108,000. The move comes as traders look ahead to U.S. employment data due Friday, which could shape expectations for monetary easing.
On the daily chart, Bitcoin has been consolidating inside a descending channel after failing to sustain above $120,000 resistance in mid-August. Price action has since retraced to a green demand zone between $108,000 and $111,000, where buyers stepped in to halt the decline.
“Bitcoin has once again defended its major support band around $108,000. As long as this level holds, the bias leans toward a rebound back into the $115,000–$118,000 region,” said  BITX crypto market analyst.
Immediate resistance lies around $115,000, with a larger supply area near $120,000–$122,000. Conversely, a break below $108,000 could expose Bitcoin to deeper pullbacks toward $98,000 and $94,000, areas marked as prior accumulation zones.
Beyond technicals, macroeconomic factors continue to play a central role. A weaker U.S. jobs market has strengthened expectations that the Federal Reserve could shift toward easing in the coming months. This environment has fueled renewed demand for hard assets like Bitcoin and gold.
The market now awaits Friday’s nonfarm payrolls report, which could be pivotal for risk sentiment. If the data confirms economic cooling, it may reinforce expectations of policy support, potentially aiding Bitcoin’s rebound from current levels.
For now, Bitcoin’s defense of the $108,000–$111,000 zone is critical. Holding this range keeps the possibility open for another test of higher resistance, while failure could signal the start of a deeper correction.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.