1. Donald Trump’s inauguration ceremony
On Monday, January 20th, U.S. markets will be closed in observance of Martin Luther King Jr. Day. donald trump At least it is more important for cryptocurrency investors.
Cryptocurrency supporters are feeling hopeful following Trump’s return to the White House. During his campaign, Trump promised to lower regulatory hurdles and enact measures to support cryptocurrencies. If his administration succeeds, it will be able to foster positive sentiment. Bitcoin and other digital assets.
However, with markets closed for the holidays, the immediate impact on Bitcoin trading will probably come on Tuesday. Some investors remain optimistic, while others say policy decisions could be ready at any time and require caution.
2. First U.S. unemployment claim
The health of the U.S. labor market will continue to receive attention. First Unemployment Claim It’s set for Thursday. This is a count of the number of Americans who have applied for unemployment benefits for the first time.
The previous report showed claims rose to 217,000, which exceeded expectations and reflected a weakening labor market. If this continues, it could mean that economic hardship will continue. This generally means that weak labor markets reduce consumer spending, which trickles down through financial markets and into domestic markets. cryptocurrency.
Here’s how unemployment claims could affect Bitcoin.
- higher billing: Indicates increased unemployment, decreased disposable income, and decreased Bitcoin investment.
- low billing: Proposing economic recovery can increase confidence in risky assets such as cryptocurrency.
3. Bank of Japan interest rate decision
Bank of Japan (BOJ) The interest rate decision and economic outlook are scheduled to be announced on January 24th. This decision is being closely watched as it could affect global liquidity and financial strategies.
A possible rate hike by the BOJ could hamper yen carry trades as investors borrow the yen at lower rates to invest in higher-yielding assets. If this strategy is disrupted, the liquidity of risky assets such as Bitcoin may decrease.
Key considerations regarding the BOJ decision:
- rate increase: It could increase global financial pressures, potentially leading to a sell-off of risky assets, including Bitcoin.
- no change: Current liquidity levels can be maintained while maintaining Bitcoin’s attractiveness as a risk asset.
The BOJ’s decision could carry more weight than other events this week, given its potential global financial implications.
4. US Consumer Sentiment Report
The U.S. consumer sentiment report, released on Friday, provides a snapshot of public confidence in the economy. This indicator reflects how consumers feel about their finances and economic prospects.
Potential impact of consumer sentiment on Bitcoin:
- positive emotions: Spending and investment in the following assets may increase: Bitcoin.
- negative emotions: Bitcoin demand can be reduced by directing investors to safe assets.
Summary of key events and potential impacts
|
event |
date |
Potential Impact on Bitcoin |
|
Donald Trump Inauguration Ceremony |
January 20th (Monday) |
Cryptocurrency-friendly policies could boost sentiment. Market reaction is likely to be delayed due to the holidays. |
|
First Unemployment Claim |
January 25th (Thursday) |
Higher claims can dampen emotions. Reduced claims may increase confidence in risky assets. |
|
BOJ interest rate decision |
January 24 (Wednesday) |
Rising interest rates could disrupt global liquidity and lead to a sell-off in risky assets, including Bitcoin. |
|
consumer sentiment report |
January 26 (Fri) |
Positive sentiment can encourage investment in Bitcoin, while negative sentiment can reduce demand. |
As of this writing, Bitcoin is trading at $107,353. Traders should pay close attention to these events as the results can result in volatility in cryptocurrency prices.