Markets
Six things to watch this week as Bitcoin price nears $69,000
This is the last week of jobs data before the June 12 Federal Reserve meeting kicks off.
Investors will review several economic reports that will be incorporated into the Fed’s future policy considerations. Crucial labor market reports on Friday will be ones to watch.
Crypto markets went through the weekend with very little movement one way or the other for most digital assets.
Economic events from June 3 to 7
Monday will see the May ISM Manufacturing PMI (Purchasing Managers’ Index) report, which shows business conditions in the US manufacturing sector.
This data is considered a reliable leading indicator for assessing the state of the U.S. economy and can be used to help anticipate changing economic trends.
The service sector can be considered more important as it contributes more than 70% of the US GDP. On Wednesday, the May ISM Services PMI will be released, which will also serve as a leading indicator of changing economic conditions.
Friday’s payroll and unemployment reports from the Department of Labor’s Bureau of Labor Statistics provide the number of new jobs created in the previous month, as well as the percentage of active job seekers.
These are the most important reports of the week as policymakers track these numbers which are strongly associated with the overall health of the economy. The Fed also pays close attention to labor market developments when determining its policy decisions.
“It will be critical to see whether the U.S. labor market continues to cool. » commented Global Macro Investor before adding:
“Wall Street analysts expect the creation of 180,000 new jobs and the unemployment rate to remain at 3.9%. At the same time, revised US labor market data are already pointing towards a recession.”
Crypto Market Outlook
This week’s economic and jobs reports are unlikely to have much impact on crypto markets, which are more closely affected by the CPI inflation reports.
The total market capitalization has not moved much in recent days and remains at $2.68 trillion.
However, Bitcoin prices began to rise during the Asian trading session on Monday morning, adding 1.4% on the day to reach $68,619 at the time of writing. It has remained in a tight range since failing to rise above $70,000 again in late May.
Ethereum recovered minor losses to return to $3,800 and altcoins remained mostly stable, with the exception of Toncoin which added 10% in the last 24 hours.