Bitcoin price could reach $30k as investors react to NFP report.

The price of Bitcoin (BTC) jumped 2% after the US Bureau of Labor Statistics published the September nonfarm payrolls report on Friday. A key on-chain indicator suggests that BTC is in for a major price action in the coming weeks.

On October 6th, Bitcoin price was close to retrieving $28,000. Can bullish well investors capitalize on a positive news event to reclaim the $30,000 territory?

The non-farm payroll report had a positive impact on Bitcoin prices

On October 6, the US Bureau of Labor Statistics published nonfarm payrolls figures for September 2023. As shown in the chart below, the records show that non-farm payrolls rose by 336,000. Specifically, according to TradingEconomics, the markets missed the consensus price of 170,000.

Nonfarm payrolls (NFP) data is a closely watched economic indicator in the United States, and it can affect various financial markets, including Bitcoin. Typically, a better-than-expected NFP report indicates a strong labor market and improved economic health.

The latest NFP report is 48% higher than last month's figure and could boost the confidence of major Bitcoin investors in the USA and beyond.

US whales have started piling on BTC on Coinbase.

The NFP report seems to have boosted institutional investors' confidence in Bitcoin. To illustrate this point, a key on-chain indicator shows that US-based crypto-wells have started piling up this week on buying pressure.

CryptoQuant's Coinbase Premium Index shows the percentage difference between Bitcoin prices on the Binance and Coinbase Pro spot trading platforms.

As shown below, the BTC Coinbase Premium index is showing positive values ​​this week at 0.92 since October 6th.

In particular, Binance is a major player in the global BTC retail business. Meanwhile, trading activity on Coinbase Pro is mostly controlled by US-based entities and high net worth investors who want to trade in a regulated environment.

Therefore, while the Bitcoin Coinbase Premium Index entered positive values, spot prices on Coinbase slightly exceeded Binance'. This means that American investors are increasing their buying pressure.

Historically, the chart above shows that the price of BTC increased several times in the days after BTC Coinbase Premium broke into positive values. Recently, this event was observed on August 29 and September 20.

In both cases, the crypto whales trading on Coinbase Pro saw significant gains in the price of Bitcoin in the days after the needle started moving.

However, it remains to be seen whether BTC retail market participants will continue to be bullish on the whales in the coming days.

BTC Price Prediction: About to reach $30,000.

The aforementioned on-chain indicator creates a close correlation between the price of Bitcoin and the trading activity of US-based Well Investors. Therefore, BTC bulls can take advantage of that to extend the ongoing price rally towards $30,000.

The Global In/Out Value of Money (GOM) data, which shows the current distribution of entry prices for Bitcoin investors, also supports this prediction.

If the Bitcoin bulls can overcome the first sales wall at $29,300, the BTC price rally may reach $30,000.

As shown below, 3.1 million addresses bought 1.6 million bitcoins at an average price of $29,300. If you book profits too early, you may inadvertently trigger a premature pullback.

But if the decline in whale confidence affects retail traders as predicted, the price of Bitcoin could enter the $30,000 range.

Still, if the price of BTC changes below $25,000, the bears may lose this crash forecast value. However, the chart shows that 635,000 addresses bought 2.42 million bitcoins at a peak of $26,613. If you HODL, that can mount a significant wall of support.

But that important support buying wall caves in and could lead to a longer Bitcoin price retreat to $25,000.