Bitcoin Bulls Buy the Dip, But Can BTC Close Above $112K Ahead of US Jobs Report?

Bitcoin Struggles to Hold Gains

Bitcoin (BTC) briefly rallied to $112,600 on Wednesday, only to give back its gains as sellers stepped in during Asian trading hours. By Thursday, BTC had dropped to $109,329, highlighting ongoing volatility as markets brace for Friday’s US jobs report.

The pullback followed weaker-than-expected ADP private hiring data, which showed only 54,000 new jobs in August, well below the 75,000 forecast. The data rattled both equities and crypto, amplifying caution ahead of the official nonfarm payrolls release.

Related: Bitcoin Bull Run Over at $111K? 5 Things to Know in BTC This Week

Why the Jobs Report Matters for Bitcoin

Friday’s report is expected to show around 80,000 new jobs, but analysts warn the figure could fall short. Crucially:

• The US now has 7.24M unemployed vs. 7.18M employed.

• Signs of a cooling labor market could give the Federal Reserve cover to cut rates at its September meeting.

The CME FedWatch Tool shows a 97.6% probability of a 25 bps rate cut, an outcome that many traders hope will act as a tailwind for Bitcoin.

Fed target rate probabilities. Source: CME Group

Dip Buyers Still Active

Despite macro uncertainty, on-chain and derivatives data suggest traders are buying the dip:

• Spot accumulation continues across retail and institutional accounts.

• Hyblock data shows leveraged long positions being opened.

• The BTC/USDT liquidation heatmap places price action between $109,000 and $111,200, with short-term traders taking profits near range highs.

This points to steady demand, but also highlights the importance of breaking above $112,000 to shift sentiment decisively bullish.

BTC/USDT 15-min chart. Source: Hyblock

Key Technical Levels for BTC

• Critical Resistance: $112,000 – needs a daily close above this level to confirm bullish momentum.

• Support Zone: $109,000 – if broken, BTC risks retesting lower support near $107,500.

• Range: $109,000–$111,200, with sellers capping upside attempts for now.

 BTC/USDT 3-day liquidation heatmap. Source: Hyblock

Related: Bitcoin Could Hit $115K by July If US Job Data Disappoints, Say Analysts

Outlook: All Eyes on Friday

Bitcoin’s short-term outlook hinges on the August jobs report. A weaker labor print could spark optimism for Fed easing, potentially giving BTC the boost it needs to secure a daily close above $112K.

Until then, traders remain cautious, balancing dip-buying enthusiasm against broader macro uncertainty.

FAQs

1. Why is $112,000 a key resistance for Bitcoin?

A daily close above $112,000 is needed to confirm bullish momentum and shift market sentiment positively.

2. How does the US jobs report affect Bitcoin?

Weaker-than-expected job data increases chances of Fed rate cuts, which could support Bitcoin’s price.

3. What support levels should Bitcoin traders watch?

BTC’s key support is $109,000, with a deeper floor near $107,500 if that level fails.

4. Are traders buying the Bitcoin dip?

Yes, on-chain and derivatives data show both retail and institutional investors accumulating during the pullback.

5. What could trigger Bitcoin’s next rally?

A soft jobs report and rate-cut expectations from the Federal Reserve could push BTC above $112K resistance.