In the coming week, two key economic data points will provide clues about the health of the U.S. economy, indirectly affecting the cryptocurrency market:
Initial Jobless Claims (May 8): As a labor market indicator, a number higher than expected may signal an economic slowdown, prompting the Federal Reserve to reassess its policies, which would be favorable for cryptocurrencies. Strong employment data could reinforce tightening expectations and put pressure on risk assets.
Consumer Price Index (CPI, May 13) and Producer Price Index (PPI, May 15): CPI and PPI measure inflation at the consumer and producer levels, respectively, and are core driving factors for Federal Reserve decisions. Recently, the core CPI year-on-year growth rate has exceeded the 2% target (e.g., 2.6% in March), raising market concerns that high inflation may lead the Federal Reserve to delay interest rate cuts. Inflation data above expectations may suppress cryptocurrency prices, while data below expectations may boost the market.
