The past 24 hours have been particularly turbulent throughout the cryptocurrency market, but this time everything seems to be in favor of the bulls.

Bitcoin price rose above $41,000 for the first time since Jan. 21, taking the entire market into the green.

Here are four possible reasons why the $5,000 Bitcoin price could rise above $41,000.

1- End of the financial reporting season:

It is worth noting that Bitcoin and the traditional stock market have been tightly linked for quite some time now.

As such, what happens on Wall Street affects the cryptocurrency market as well, so it is crucial to be aware of the macroeconomic factors that affect the stock market.

Read:Study: The number of cryptocurrency users doubled in just 6 months

The majority of tech giants and other big names in legacy markets are in the process of submitting their financial reports for the fourth quarter of 2021.

These reports are considered important catalysts for significant volatility in the markets.

For example, just a few days ago, Meta (formerly known as Facebook) reported in its Q4 2021 report and revealed the loss of daily active users for the first time in history.

In response, their share price fell more than 26% in the after-hours trading session after the report was published.

Now that these reports are out, it may be safe to assume that the markets will be less volatile, and free from massive catalysts of this kind, removing some uncertainty from the table.

2. US jobs reports beat expectations

Recent figures revealed that the United States added nearly half a million new jobs in January alone, despite the spread of the “Omicron” virus.

The US jobs report was published by the US Department of Labor’s Bureau of Labor Statistics on February 4, which we at Bitcoin Arab republished.

The unemployment rate rose slightly from 3.9% to 4% over the same period.

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The report exceeded expectations of economists who expected only 150,000 new jobs, according to a Dow Jones survey.

In addition, the period of time during which people remain unemployed has also decreased

Just for reference, the price of Bitcoin dropped a bit after the report and then rose to a high level not seen in over two weeks.

3- Liquidation of $220 million:

Data from CoinGlass reveals that over the past 24 hours, the market has seen $220 million worth of short positions liquidated across major trading platforms including Binance, OKEx, FTX, Bybit, Huobi, BitMEX…

Altogether, more than 80% of the liquidations in the past day were short positions which led to what is called a short squeeze which is a market condition in which the price is moving upwards, which leads to more and more liquidations which in turn leads to more bullish momentum.

4- Correction is due:

Bitcoin price has been in a massive downtrend in the past two months and there haven’t been any significant positive corrections for a long time.

Read:The co-founder of PayPal stated: If you are only a supporter of the blockchain, this is an anti-Bitcoin approach

Bitcoin price recorded the largest green candle since the decline that occurred after the 10th of November.

It is now interesting to see if there will be a confirmed breakout to the downside and whether or not the market will start to recover.

Today’s weekly close will be significant but it is still especially important to be very careful in the coming days as volatility is likely to increase sharply and we look forward to the inflation report that the US Federal Reserve is expected to publish in March.

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