According to PANews on December 2, The Block reported that BRN analyst Valentin Fournier pointed out significant barriers for Bitcoin to break through the $100,000 mark. Fournier wrote, "Despite strong market catalysts and increased investor confidence, Bitcoin is still struggling against the psychological barrier of $100,000, with clear profit-taking phenomena, and before reaching higher levels, it must clear a massive sell wall of over 4,000 Bitcoins valued at approximately $384 million."
One of the main macroeconomic factors currently affecting Bitcoin is the broader financial market environment, especially expectations regarding the U.S. Federal Reserve's interest rate decisions. Investors have recently scaled back their expectations for aggressive rate cuts, with the CME FedWatch tool currently indicating a 61% probability of a 25 basis point rate cut at the Federal Open Market Committee (FOMC) meeting on December 18, down from 67% last Friday. Expectations for a slowdown in the Fed's rate-cutting cycle have supported the recent upward trend of the dollar.
This week, investors will closely monitor key economic indicators that may further support the strength of the dollar, including the November non-farm payroll report and speeches from Federal Reserve officials, such as the remarks by Fed Chairman Jerome Powell at the DealBook Summit on Wednesday. These events may provide insights into inflation trends and clues for future monetary policy, potentially affecting both the dollar and Bitcoin price movements. Additionally, the U.S. ISM manufacturing data on Monday and the PMI data on Tuesday will also be monitored for signs of economic strength or weakness.
