Markets
Six Things to Watch for Crypto Market Impact This Week
Cryptocurrency markets saw gains over the weekend, with total market cap hitting a six-week high.
All eyes will be on PCE inflation data this week, as it is the Federal Reserve’s preferred gauge of inflation and could influence its rate-cut decision in September.
Also, a major upset in the US presidential election race with Joe Biden step aside It could also influence the markets in this very hectic period economic week after you.
Economic events from July 22nd to 26th
The preliminary July readings of the S&P Global Manufacturing PMI and Services PMI are due on Wednesday. These reports provide a snapshot of business conditions in the U.S. manufacturing and services sectors.
The annualized GDP growth report for the second quarter of 2024 will be published on Thursday, providing an initial overview of a shift in gross domestic product,
GDP growth is estimated to have accelerated to 2% in the second quarter, up from an annualized rate of 1.4% in the first quarter. A higher-than-expected reading could delay expectations for central bank rate cuts.
The main report of the week is the June Core Personal Consumption Expenditures (PCE), due out Friday. These data reflect the average amount of money consumers spend each month and are a key indicator of inflation for Fed policymakers.
Slowing PCE inflation and the continued trend of disinflation will strengthen the likelihood of a rate cut in September.
Also due on Friday are the July Michigan Consumer Confidence Index and Consumer Inflation Expectations reports, which will provide further insights into long-term inflation.
“This is a very busy week, with the July Fed meeting just 10 days away,” Kobeissi wrote in his letter.
About 20% of S&P 500 companies reported earnings this week, including Google parent Alphabet and Elon Musk’s Tesla.
Tuesday 23 July is also the day when the long-awaited spot will be released Ethereum ETFs I am It is expected to start tradingwhich could also impact cryptocurrency markets.
Cryptocurrency Market Outlook
The cryptocurrency market cap hit $2.6 trillion over the weekend, its highest level since early June. The move was led primarily by Bitcoin, which topped $68,000 in early Asian trading Monday morning.
The asset’s value plunged below $66,000 on news of Biden’s exit from the presidential race, but quickly recovered.
Most altcoins are in the green on Monday morning, with Solana (SOL), Dogecoin (DOGE), and Avalanche (AVAX) seeing the biggest gains.