Bitcoin‘s price recently hit $62,400, only to retreat to around $61,000 shortly after. While the current fluctuation has stabilized, upcoming data releases on Thursday and Friday are anticipated to have significant impacts. Experts are weighing in on the current trends and providing their insights into the cryptocurrency market’s future.
What Do Experts Say?
Currently, Bitcoin is priced at approximately $61,300, pausing its recovery from the $58,500 mark. Altcoins rebounded quickly from their losses, yet the stagnation in Bitcoin’s price has tempered the market’s risk appetite. QCP Capital’s analysts recently shared their forecasts for the cryptocurrency sector.
As we near the quarter-end option expirations this Friday, the options market has been relatively quiet. Speculation is swirling about the potential trading of ETH ETFs, with VanEck completing the necessary 8-A form, a step taken for the Bitcoin ETF a week prior to its launch. VanEck announced that there would be zero transaction fees for the initial phase of ETH ETFs. A notable development in the approval process could surprise the market, especially regarding the ETH options market for the July expiry.
Which Factors Could Drive Crypto Prices Higher?
On Thursday, the US GDP data will be released, followed by the PCE data on Friday. Any irregularities in the economic growth figures might increase volatility in the crypto market. The US economy must remain resilient while combating inflation, as excessive weakness paired with the Federal Reserve’s stringent anti-inflation measures can have detrimental effects on cryptocurrencies.
Key Takeaways for Investors
• Monitor the upcoming US GDP and PCE data for signs of market volatility.
• Watch for developments around ETH ETFs, particularly any regulatory approvals.
• Consider Conditional Fixed Coupon Convertibles (CFCCs) as a strategic investment with potential for high returns.
• Be aware that strong support levels for ETH are at $3,200 and $2,800.
The PCE data holds significant weight in influencing Federal Reserve members’ stance on inflation. While recent inflation data was overlooked by the Fed, a positive PCE result may solidify perceptions of decreasing inflation, potentially boosting the crypto market.