The crypto market held steady last week, with Bitcoin price rising to $64,000 a few days after it fell below the $60,000 support level. Other top altcoins like Bittensor, Humanity, FET, Ethena, and Worldcoin. This article looks at the top crypto news to watch this week.
Crypto News: Federal Reserve Rate Decision
One of the top crypto market news stories this week will be the upcoming Federal Reserve interest rate decision on Wednesday. Economists expect the bank, under Kevin Warsh, to leave interest rates unchanged at 3.5%-3.75% at this meeting.
The bank is highly concerned about the rising inflation in the United States. Data released last week showed that the headline Consumer and Producer inflation jumped to 4.2% and 6.4% in May.
Another report released a week earlier showed that the economy added 172k jobs in May. As a result, a combination of high interest rates and a strong labor market means that the Fed will embrace a hawkish tone. Officials may even hint at future interest rate hikes in this meeting.
READ MORE: Here’s Why Humanity, Bittensor, Worldcoin, Pi Network are Soaring Today
US and Iran Memorandum of Understanding
The other main catalyst for the crypto market is the US and Iran reaching a memorandum of understanding that could end the war as early as today. Trump said the two sides will sign a deal to immediately reopen the Strait of Hormuz.
The rising hopes of a deal explain why crude oil prices have continued falling in the past few days. Brent and the WTI have all moved downwards and are approaching the key support level of $80.
A deal will be bullish for the crypto market by lowering inflation expectations. Such a move will lead to lower US bond yields and reduce the pressure of the Fed to cut interest rates.
Bitcoin and Ethereum ETF Flows
The other top crypto news this week is the ongoing development in the ETF market. Data shows that spot BTC and ETH ETFs continued their outflows last week.
However, there are signs that the outflow trend is waning. Bitcoin ETFs added over $85 million on Friday, bringing the total outflows last week to over $315 million, much lower than the previous week’s $1.72 billion. Ethereum ETFs shed $14 million last week, down from $173 million a week earlier.
There is a likelihood that spot Bitcoin and Ethereum ETFs will begin adding assets as investors rotate into beaten-down assets following the SpaceX IPO.
The other top crypto news to watch will come on Monday, when Michael Saylor’s Strategy publishes its Bitcoin buying stats. Traders have closely watched these flows since the company sold 32 coins earlier this month.
READ MORE: Here’s Why Silver, Gold, and Bitcoin Prices Are Lagging the Stock Market
