- Bitcoin could hit a new all-time high with a continuing economic slowdown and lower inflation indicators.
- Job openings in the U.S. fell to their lowest in three years, suggesting an economic slowdown.
- Upcoming CPI and employment reports are critical for Bitcoin’s potential price surge.
Bitcoin is poised to potentially reach a new all-time high as early as next week, driven by recent economic indicators suggesting a slowing U.S. economy. According to Markus Thielen, head of research at 10x Research, the latest data on job openings and other economic metrics could set the stage for a significant Bitcoin price surge.
Thielen highlighted that the U.S. Bureau of Labor Statistics reported the lowest job openings in three years, with April showing 8.1 million openings. This ratio of unemployed persons per job opening is the highest since February 2021, indicating a potential economic slowdown. Thielen believes this slowdown will lead to lower inflation, which historically has been a bullish signal for Bitcoin.
On May 15, when the U.S. Consumer Price Index (CPI) dropped by 0.1%, Bitcoin’s price rose 7% in just five days, reaching $71,433. Thielen predicts a similar reaction if the CPI decreases again by 0.1% to 3.3% in the upcoming report.
The U.S. Bureau of Labor Statistics will release the Employment Situation Summary on June 7, followed by the CPI data on June 11. These reports are pivotal, as another drop in CPI could trigger further bullish momentum for Bitcoin. Thielen explained that if the CPI for year-on-year is at 3.3% or lower, it is likely to push Bitcoin to new all-time highs.
Current Bitcoin Market Dynamics
Bitcoin is currently trading at $71,199 and has seen a 12.05% increase over the past 30 days. Thielen noted that Bitcoin has broken out of a key consolidation triangle, and a close above this level, coupled with favorable economic data, could pave the way for Bitcoin to surpass its current all-time high of $73,679 between June 7 and June 12.
The combination of a slowing economy, lower inflation, and upcoming critical economic reports could create the perfect conditions for Bitcoin to achieve a new peak, making the next week crucial for traders and investors to watch.
