Key Points:
- The Federal Reserve’s interest rate decision on July 30 could affect crypto trends over the short term.
- Major economic data like GDP, inflation, and jobs reports will likely affect the market’s volatility.
- Bitcoin and Ethereum are gaining strength fast, ahead of these top crypto events.
The top crypto events this week go far beyond upgrades or token launches. Political and economic factors, especially in the U.S., still significantly influence the financial market, including crypto.
As July wraps up, crypto investors are looking for several macroeconomic developments. This includes the Federal Reserve’s upcoming interest rate decision, inflation updates, and corporate earnings from tech giants.
If you’re looking at Bitcoin, Ethereum, and altcoin charts, this could be an essential time to stay in the loop.
Fed Meeting Tops the List of Top Crypto Events
One of the top crypto events for crypto watchers this week is the U.S. Federal Reserve’s interest rate decision. The meeting ends on Wednesday, July 30, and markets expect the Fed to hold rates steady at 4.25% to 4.50%.
It is also important to note that this level has remained unchanged since December last year. Reuters, citing financial analysts like Prashant Newnaha from TD Securities, predicts that Fed Chair Jerome Powell will be cautious.
Rather than rushing into cuts, the Fed is expected to wait for more evidence of economic stability.
But why does this matter to crypto? Interest rates directly influence how much risk investors are willing to take.
Lower rates often lead to higher crypto prices because cheap borrowing boosts demand for alternative investments. On the other hand, a hawkish stance from the Fed could weaken crypto enthusiasm.
Top Crypto Events: Key Economic Reports Driving Market Sentiment
Aside from the Fed’s meeting, several reports due this week may also affect crypto market moves. For example, the Consumer Confidence report is expected on Tuesday, 29 July, as one of the week’s top crypto events.
This report shows how optimistic Americans feel about the economy. A drop in confidence shows spending ahead, which could be bad news.
Tuesday also expects the JOLTS Job Openings report to show the labor market’s strength. Remember that high job openings tend to lead to inflation through rising wages. In turn, this may influence the Fed’s actions.
The day after that, in the row of top crypto events, Wednesday, 30 July, will see the Q2 GDP report release. Predictions show a 1.5% growth rate, down from a previous 2.1% prediction. Again, a firm GDP number could boost investor confidence across all markets, including crypto.
Thursday, 31 July, expects the Personal Consumption Expenditures (PCE) index to be released. Keep in mind that this is the Fed’s favorite inflation gauge. The last report showed a 2.3% year-over-year increase. Also, the upcoming July 31 release will be necessary for rate decisions in the future.
Last but not least among the top crypto events, the July Jobs Report is expected to be released on Friday. This report covers unemployment and nonfarm payrolls, and is also closely watched.
In summary, these data points are not just for Wall Street. Crypto markets have become more and more correlated to macroeconomics. As such, each of these reports has the means to swing the market up or down.
Trade Deals and Politics Could Affect Sentiment
While inflation and jobs data are significant, trade relations are worth watching. On July 27, the U.S. and European Union signed a new agreement.
This tariff introduced 15% tariffs on EU goods entering the U.S. While the move adds some friction to the mix, it also prevented a full-blown trade war. This minor resolution led to a 2% rise in Bitcoin, another example of geopolitical stability’s importance.
In addition to the above, four tech companies, including members of the “Magnificent 7,” are set to release earnings. Meta and Microsoft are expected to release reports on Wednesday, July 30.
On the other hand, Amazon and Apple will have theirs on Thursday, July 31. These firms hold massive market caps. Combined with the macroeconomic developments, the crypto space could be headed for a truly volatile week