This week, the cryptocurrency market faces multiple challenges due to key economic data and political decisions in the U.S.
U.S. Economic Data Release
Tuesday will be a significant day for financial markets, with the release of the Consumer Price Index for June expected to rise by 0.3% month-on-month and 2.6% year-on-year. Positive data could undermine hopes for interest rate cuts, as stronger-than-expected figures may delay the Federal Reserve's decision to reduce rates.
Trade War and Its Impact on Cryptocurrencies
President Donald Trump announced a 30% tariff on all goods from the European Union and Mexico, drawing backlash from Brussels and Mexico City. This event may impact stock markets, which could indirectly increase interest in cryptocurrencies as capital fleeing equities might temporarily flow into them.
Cryptocurrency Week in Congress
This week, the House of Representatives is discussing several bills related to cryptocurrencies, including stablecoin regulations and classifications. Support from Republicans may accelerate their approval, but initiatives like the "Anti-Cryptocurrency Corruption Week" might slow progress. Investors will be closely watching votes and potential amendments.
Overall, the current week is poised to be pivotal for the cryptocurrency market, reacting to economic changes and political decisions shaping its future.
