Bitcoin is trading at $63,700 after its best weekend in two weeks. The market is focusing on the Fed minutes and US employment data.
The cryptocurrency market starts the week with optimism, after Bitcoin rose 2.7% over the weekend to reach $63,700, its highest level in two weeks. The cryptocurrency, which just recorded its worst June since 2022, is trying to regain ground as investors look towards the economic indicators from the United States that will be released between July 6 and July 10.
Economic calendar: what's coming this week
The week begins with the S&P Global services PMI for June, a figure that measures activity in the US services sector. On Tuesday, the market will learn the private sector employment figures compiled by ADP, a key gauge ahead of the official employment report.
Wednesday will be the most anticipated day: the Federal Open Market Committee (FOMC) will publish the minutes of its last meeting, in which the Federal Reserve kept interest rates unchanged. Attention is focused on the internal debates regarding inflation, which continues to be pressured by rising energy costs, and on clues about the future of monetary policy under the direction of the new Fed chair, Kevin Warsh.
“It will be interesting to see how the discussion unfolded within the committee and to what extent its members are adopting a more restrictive stance,” said Matthew Miskin, co-director of investment strategy at Manulife John Hancock Investments. “That’s what investors and markets want to know: what this new Federal Reserve chair and the renewed monetary policy committee are looking for to decide the course of interest rates from now on,” he added.
Employment and volatility: warning signs
On Thursday, initial unemployment claims will be published. The Kobeissi Letter highlighted that full-time employment in the United States fell by 514,000 jobs during June, reaching its lowest level since December 2024, and warned that “the weakness in the US labour market is accelerating.”
The analysis firm anticipates another week of high volatility as investors prepare for the start of the corporate earnings season in the US. Additionally, SpaceX will join the Nasdaq-100 this week, a move that could attract investment flows into the tech sector.
US stocks reached a new milestone last week, with a total market capitalization exceeding $80 trillion, equivalent to approximately 48% of the global stock market value. A record that, however, coexists with signs of a slowdown in employment and uncertainty about interest rates.
Altcoins on the rise and capitalization at $2.26 trillion
The total cryptocurrency market capitalization increased by 1.1% over the last day, reaching $2.26 trillion. Ether outperformed Bitcoin, with a 14% advance in the last week bringing it close to $1,800. Most major altcoins also recorded gains, with Hyperliquid and Canton among the top-performing assets.
For the crypto investor, the key lies in the Fed minutes: any hint of monetary tightening could dampen appetite for risk assets, while a more moderate tone would boost Bitcoin and altcoins. The corporate earnings season will also play a role, as strong performance from tech companies usually correlates with positive movements in crypto.
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