Next week, key economic indicators will be released in the U.S. that could significantly affect financial markets, including cryptocurrencies.
Importance of Core PCE for Fed Policy
On June 27, 2025, the U.S. Bureau of Economic Analysis will release the Core Personal Consumption Expenditures Price Index (Core PCE). This metric is crucial for assessing inflation levels within the economy and shaping Federal Reserve policy. As Jerome Powell, Chair of the Fed, noted: > "PCE inflation is trending down at 2.1% for April and will play a significant role in near-term policy deliberations." — Jerome Powell, U.S. Federal Reserve Chair.
Upcoming Events and Their Impact on Cryptocurrencies
Cryptocurrencies like Bitcoin and Ethereum often experience increased volatility around major economic announcements. Past inflation surprises have led to significant intraday price swings in assets, reflecting heightened sensitivity of the crypto market to unexpected economic events, which previously triggered 3-8% price fluctuations in key trading pairs.
Market Expectations and Behavior
The release of Core PCE data, alongside Federal Reserve testimonies, is expected to trigger significant market reactions. A projected GDP growth rate of 1.4% in 2025 may also influence new trading strategies. Data and experts highlight the potential shifts in trading patterns and asset valuations as traders position themselves ahead of upcoming economic indicators and policy speech.
The upcoming economic indicators and Jerome Powell's testimony could lead to high volatility in both traditional and cryptocurrency markets. It is a crucial time for analysis and market trend monitoring.