Bitcoin is approaching $105,000 despite recent strong US labor market data, as former President Donald Trump pressures the Federal Reserve for interest-rate cuts. Trump, having shifted his focus from Elon Musk to Fed Chair Jerome Powell, emphasizes the need for reduction in rates, arguing that America has fallen behind Europe, which has already cut rates multiple times. The latest employment data reveals a stable labor market with a 4.2% unemployment rate, potentially diminishing the likelihood of immediate rate cuts. Analysts caution about a potential liquidity trap for Bitcoin, with some predicting a risk of liquidation cascade if prices fall to significant levels below current trading scenarios. As traders monitor order book liquidity, concerns grow that an imbalance in market orders could lead to increased risks for Bitcoin's price stability. The article concludes that continued scrutiny of federal economic policy will play a crucial role in Bitcoin's price movements going forward, and that individuals should conduct their own research before making investment decisions.

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