The recent jobs report showed that US Non-farm Payrolls rose by 114,000 in July, missing the market expectation of 175,000 and falling below June’s increase of 179,000.

This slower-than-expected growth may lead the Federal Reserve to reassess their monetary policy decisions, potentially considering rate cuts later in the next Fed meeting slated for September.

Historically, a dovish Fed lowering interest rates often increase investor appetite for riskier assets. Hence as the prospects of a Fed cut grows in the coming week, risk-assets, ranging from stocks to cryptocurrencies will likely attract increased market demand.

This dovish expectations could encourage US-based investors, especially institutional players investing  11 actively trading BTC ETFs to begin making strategic Bitcoin purchases to front-run the next Fed rate cut.

If this scenario plays out, Bitcoin bulls can expect to avoid a breakdown below the psychological support at the $55,000 level in the week ahead.

BTC Price Forecast: Neutral Bias Favours $62,000 Rebound

Bitcoin’s recent price action suggests a neutral bias, leaning towards a rebound to $62,000, as the Relative Strength Index (RSI) has bounced off the oversold region (30) and is currently at 43.

The Bollinger Bands indicate a contraction in volatility, suggesting a potential breakout. The upper band ($61,300) and lower band ($56,800) will be key levels to monitor. A move above the upper band could confirm the rebound, while a break below the lower band would indicate further weakness.