Bitunix Analyst: ADP Data Surprises to the Downside, Fed Rate Cut Expectations Rise, BTC Gears Up to Challenge $112,000 Barrier

On July 3rd, BTC managed to break through the short-term downtrend line. Currently, it is trading at approximately 109,485 USDT, which is close to the resistance level of 110,348 USDT. There is support below at 105,000 and 102,560. If this support holds, there remains upside potential. This trend is related to the disappointing ADP employment data released in the United States in June. The market's expectation of a July rate cut has increased to 25.3%. Gold prices rose, the US dollar came under pressure, and cryptocurrencies strengthened simultaneously. Bitunix analyst's suggestion: The weak ADP data supports the market's expectation of the Fed starting rate cuts, which is beneficial to risk assets in the short term. If the price successfully holds above 110,348 USDT, it is expected to challenge the resistance level above 112,000. In case of a pullback, opportunities in the range of 106,000 - 105,000 should be monitored. It is recommended to pay attention to today's release of non-farm payrolls and initial jobless claims data to confirm the overall market direction.