Six Things to Watch This Week as Bitcoin’s Price Inches Toward $69K

This is the last week of employment data before the June 12 Federal Reserve meeting kicks off.

Investors will examine several economic reports that will be incorporated into the Fed’s future policy considerations. Friday’s crucial job market reports will be one to watch.

Crypto markets have gone through the weekend with very little movement either way for most digital assets.

Economic Events June 3-7

Monday will see May’s ISM Manufacturing PMI (Purchasing Managers’ Index) report which shows business conditions in the U.S. manufacturing sector.

This data is considered a reliable leading indicator for assessing the state of the U.S. economy and can be used to help anticipate changing economic trends.

The services sector may be considered more important as it contributes over 70% of the U.S. GDP. On Wednesday, the May ISM Services PMI will be released, which will also serve as a leading indicator of changes in economic conditions.

Key Events This Week:

1. ISM Manufacturing PMI data – Monday

2. JOLTs Job Openings data – Tuesday

3. ADP Nonfarm Employment data – Wednesday

4. ISM Non-Manufacturing PMI data – Wednesday

5. May SP Global Services PMI data – Wednesday

6. May Jobs Report – Friday

It’s all…

— The Kobeissi Letter (@KobeissiLetter) June 2, 2024

Friday’s Payrolls and Unemployment reports from the Labor Department’s Bureau of Labor Statistics provide the number of new jobs created during the previous month, along with the percentage of active employment seekers.

These are the most significant reports of the week as policymakers follow these figures which are strongly associated with the overall health of the economy. The Fed also pays close attention to the labor market changes when determining its policy decisions.

“It will be key to see whether the US labor market continues cooling,” commented Global Macro Investor before adding:

“Wall Street analysts expect 180,000 new jobs to be added and the unemployment rate to stay at 3.9%. Meanwhile, revised US labor market data already points to a recession.”

Crypto Market Outlook

It is unlikely that this week’s employment and economic reports will have much of an impact on crypto markets, which are more closely affected by CPI inflation reports.

Total market capitalization hasn’t moved much over the past few days and remains at $2.68 trillion.

However, Bitcoin prices started to move upwards during the Monday morning Asian trading session, adding 1.4% on the day to reach $68,619 at the time of writing. It has remained tightly rangebound since it failed to top $70,000 again in late May.

Ethereum had recovered minor losses to return to $3,800 and the altcoins were mostly flat aside from Toncoin which added 10% over the past 24 hours.