The upcoming week promises a flurry of economic data releases, including crucial inflation figures, which could potentially influence crypto markets. Despite a weekend of relatively stable prices following a dip last week, overall crypto market capitalization stands at $2.38 trillion.
This week's economic calendar suggests the possibility of increased market volatility, with the focus on key inflation data and several Federal Reserve speeches that could offer insights into future monetary policy.
On Tuesday, attention will turn to the core Producer Price Index (PPI) report, which gauges input costs for producers and manufacturers, thus impacting retail pricing and serving as an early indicator of inflationary pressures.
Wednesday will see the release of April's Core Consumer Price Index (CPI) report, a crucial metric influencing price trends, consumer spending, and the Federal Reserve's policy rate decisions.
Observing recent trends, if CPI inflation continues to rise, it would mark the third consecutive monthly increase, noted the Kobeissi Letter.
Additionally, there are 12 Federal Reserve speaker events scheduled for the week, including remarks from Chair Jerome Powell on Tuesday.
Last week's Conference Board survey of CEO expectations revealed that a majority of US CEOs anticipate a single rate cut by the Fed this year. While some CEOs foresee no rate cuts or predict two cuts, the market consensus leans towards two rate cuts, with the first anticipated in September, as per Kobeissi's report.
Over the weekend, Elon Musk criticized the Fed, drawing parallels with the Monopoly board game where the bank never goes bankrupt and can print money as needed. This sentiment underscores ongoing discussions around central bank policies and their potential implications.
The cryptocurrency market is displaying a lack of momentum this Monday morning in Asia, with minimal movement observed across most major cryptocurrencies.
Bitcoin's price hovered around $61,000 at the time of reporting, showing little change compared to yesterday. However, it is noteworthy that the asset has declined by 4.3% since the same time last week.
Ethereum, on the other hand, has struggled to regain ground above the $3,000 mark since experiencing a dip below it on May 10. Currently, it remains in a short-term bearish trend, trading at $2,900 at the time of writing.
Among altcoins, the majority are exhibiting losses, with notable declines seen in Solana, Dogecoin, Avalanche, and Near Protocol. These altcoins are experiencing larger losses compared to others in the market.
May 2024, Cryptoniteuae