On September 1, Vincent Liu, CIO of Kronos Research, said that the inflation data exacerbated bearish market sentiment, which initially emerged after a series of large-scale Bitcoin whale sell-offs triggered the liquidation of leveraged positions.
Vincent Liu believes that "Bitcoin's key psychological support level is at $100,000, and leveraged positions are under pressure, highlighting its fragile liquidity." He also added that Ethereum's key support level is at $4,000. "If these support levels are broken, it may trigger a deeper decline and a broader liquidity squeeze, but a true bear market requires a more sustained decline."
Regarding this week’s non-farm payroll data, Vincent Liu said, “A significant surprise in employment growth could trigger sharp market volatility – strong data could put pressure on cryptocurrencies as risk appetite declines, while weaker-than-expected data could boost demand.” (The Block)
