Markets over the weekend were in risk-off mode as Bitcoin declined to $61K, before bouncing back to $63K by Monday, Asia time. Meanwhile, Ethereum hovered around $1,600 over the weekend.
Macro pressure is pushing the market to a higher interest rate narrative. Stocks, crypto, and gold all fell sharply after strong jobs data fueled rate hike bets. Conflict between the US and Iran and high oil prices continue to add to this narrative.
CoinMarketCap’s Crypto Fear and Greed Index remains stable at 15, compared to last week at 41.
What Traders Should Watch Out for This Week
The market focus for this week is on AI and tech stocks, as the sharp tech sell-off last week hurt Bitcoin significantly. Since tech weakness and Bitcoin weakness appear together in the same risk-off sentiment, traders are waiting to see how the stock market will perform this week.
Regarding major US data, the focus for this week is on US inflation expectations like CPI and PPI, Fed commentary, and Treasury yields, which could pressure bitcoin and lead to continued risk-off sentiment. Lower inflation rates would reduce the likelihood of a rate hike, potentially giving us a relief rally.
Here are the major economic indicators to watch out for this week:
- June 9: Monthly Wholesale Trade and Existing Home Sales
- June 10: Core CPI
- June 11: Weekly Jobless Claims, PPI, Personal Consumption
- June 12: U. Michigan Prelim Consumer Survey
