US Federal Reserve Chairman Jerome Powell confirmed in a 60 Minutes interview that the central bank is more cautious about interest rate cuts, especially after recent economic data. He said the US economy remains strong and the Federal Open Market Committee wants to see more evidence of inflation falling to 2%, dismissing the theory that the Fed's interest rate cuts will occur after the 2% target is reached. Cryptocurrency and Bitcoin traders are looking for signals from federal interest rate cuts to pump money back into the cryptocurrency market.
Key events for cryptocurrency and Bitcoin investors
This week will be crucial for cryptocurrency investors as several major cryptocurrency-related and macro events are scheduled for this week.
Pro-Bitcoin candidate Nayib Bukele has won re-election as President of El Salvador, signaling additional commitment to Bitcoin, particularly Bitcoin accumulation and the Bitcoin-based Freedom Visa and Citizen program.
Meanwhile, the People's Bank of China's decision to lower reserve ratio (RRR) requirements for banks by 50 basis points began today. ChinaThe CSI 1000 index fell 8% within hours, causing 30% of stocks to stop trading on the exchange. This comes amid stimulus measures, short-selling bans and other market stabilization policies by China.
There are several macro events from the US including Monday's services PMI data, Tuesday's non-manufacturing ISM data, and Tuesday's non-manufacturing ISM data. 10-year Treasury bonds Auction on Wednesday, initial unemployment claims on Thursday. Additionally, 20% of S&P 500 companies reported earnings this week, and volatility could peak as markets rise.
The most important event that traders will be watching for signals is the speech by Federal Reserve officials. Members of the Federal Open Market Committee Rafael Bostic, Loretta Master, Adriana Kugler, Thomas ParkinAnd Michelle BowmanHe is scheduled to deliver his speeches this week. President of the Federal Reserve Bank of Chicago Austin Goolsby Bowman has already pushed back on expectations of a rate cut in May or June.
Other events
The SEC's decision on the Invesco Galaxy spot ETF is scheduled for February 6. It will be closely watched as market experts, including Standard Chartered and Bloomberg ETF analyst Eric Balchunas, expect ETF approval in May.
Polygon (MATIC) Etrog upgrade on Tuesday and Horizen (ZEN) mainnet upgrade on Wednesday are also major events this week.
The Hong Kong Securities and Futures Commission (SFC) is likely to make a decision on the Bitcoin exchange-traded fund application by Harvest Hong Kong on February 9. The Bitcoin ETF is expected to launch after the Chinese New Year on February 10.
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