The crypto market has experienced volatile trading recently, as evidenced by the performance of major cryptocurrencies such as Bitcoin, Ethereum, and Solana. However, investors are praising last week's Bitcoin halving event, as evidenced by the spike in cryptocurrency prices following the event.
With Bitcoin halving optimism floating in the market, investors are looking for clues about its potential impact on crypto prices. especiallyMeanwhileMacroeconomic concerns such as rising inflation and delays in the Fed's plans to cut interest rates are also weighing on investor sentiment. Meanwhile, the crypto market is on high alert as the Fed grapples with the dilemma of potentially cutting interest rates amid rising inflation. potential Impact on sentiment and prices.
key Economic data to watch this week
Entering a critical week, speculation in the crypto market is intensifying. A series of economic indicators are scheduled to be released this week, which could set the stage for future actions by the US Federal Reserve.
Meanwhile, the upcoming release of key economic indicators such as US gross domestic product (GDP) data and personal consumption expenditure (PCE) inflation has heightened speculation over the Federal Reserve's (Fed) monetary policy stance. There is. Thursday's schedule and Friday Respectively, these data points provide insight into the health of the U.S. economy and the trajectory of inflation.
especially, If GDP data shows the economy is resilient despite the central bank's rate hikes, the Fed could become more hawkish and delay any potential rate cuts. Considering this, the virtual currency market participant similarly broader finance sector I'm looking forward to the data.
Furthermore, the cryptocurrency market is also concentrated About PCE inflation data, a vital indicator of inflation pressures. Recent data points to a sustained rise in inflation levels, and further increases in PCE numbers could dissuade the Fed from cutting rates immediately.
Investor sentiment remains sensitive to economic indicators and central bank comments as the crypto market grapples with uncertainty surrounding monetary policy decisions. Additionally, investors will be closely monitoring consumer sentiment data for potential clues regarding the current situation. economical situation.
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Fed’s hawkish signal disrupts crypto markets
Recent comments from Federal Reserve officials suggest reluctance to cut interest rates immediately, dampening sentiment in the crypto market. For example, New York Fed President John Williams emphasized the strength of the U.S. economy and downplayed the urgency of adjusting interest rates.
The Fed's cautious approach, while acknowledging the possibility of future rate cuts, suggests that monetary easing may be delayed. Notably, these hawkish sentiments are echoing throughout the crypto market, contributing to investor sentiment and asset price fluctuations.
Meanwhile, as uncertainty lingers, the CME FedWatch tool shows the central bank is 96% likely to keep rates on hold at its next meeting. As investors await the release of key economic data and the Federal Reserve's decision, crypto markets remain tense and poised to react to developments that could shape the trajectory of the coming days.
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