The U.S. economy is undergoing challenging times, influencing the cryptocurrency market. We explore current economic trends and their implications.
Economic Situation in the U.S.
This week’s CPI and PPI data were supportive. However, with Trump’s tariffs fully implemented in April, inflation effects may be seen in May. Inflation expectations in the U.S. have risen to +3.9%, the highest since 1993, as noted by The Kobeissi Letter. The Umich survey shows a decline in sentiment.
Bitcoin Price Analysis
Despite weakening volumes, BTC price returned to $85,000 over the weekend. However, the $86,000 level remains crucial for recovery. There are risks of further decline to $76,000 with potential asset liquidation of $3 billion.
Cryptocurrency Market Outlook
While U.S. stocks have somewhat recovered, Trump's upcoming remarks might alter the situation. It is important to watch for future political actions and economic data to assess their impact on cryptocurrencies.
Factors affecting the U.S. economy directly impact the cryptocurrency market. Monitoring political statements and economic data is crucial for understanding market movements.
