Cryptocurrency analyst Michaël van de Poppe shared his thoughts on the important week that will start on Monday, August 28, 2023 for cryptocurrencies and Bitcoin markets.
He said that the week will be full of many events that will affect not only the crypto space but also the macro economy. He outlined key events and scenarios that could trigger big moves in the markets for gold, the US dollar, yields, indices and Bitcoin.
According to Van de Poppe, the US dollar and bond yields will be affected by various economic indicators that will be released during the week. These include consumer confidence, employment data, ADP nonfarm payrolls, GDP, core PCE (personal consumption expenditures), jobless claims, unemployment rate and PMI (purchasing managers index).
Van de Poppe Submits Two Scenarios for the New Week
Van de Poppe explained that these events will have a big impact on the dollar, which will also affect gold and its indices, and most likely Bitcoin. He said that if indicators show a strong US economy with lower unemployment, higher PCE, higher consumer confidence and higher PMI, it will strengthen the dollar and support the prospect of higher interest rates for a longer period of time.
He noted that this first scenario has already been priced in by the markets, so any positive surprises to the downside could have an impact on the markets as a whole.
On the other hand, he suggested that if indicators show a weak US economy with higher unemployment, lower PCE, lower consumer confidence and lower PMI, it will trigger a risk rally and a drop in dollars and bonds. He claimed that this scenario would boost gold and Bitcoin.
Alongside US economic data, van de Poppe also talked about two key events in the crypto space that could have a significant impact on Bitcoin. These are the Grayscale and SEC lawsuit decision and the spot ETF initial due date.
He said that the question of whether the Grayscale Bitcoin Trust (GBTC) could become an ETF (exchange-traded fund) is likely to be answered within this week as the deadlines for decision are fast approaching. He also said that September 1st, the first deadlines for Blackrock and other ETF applications are approaching.
A massive week for #Crypto and #Bitcoin
Next week is going to be filled with many events. Not solely for #Crypto, but also on the landscape for the macro economy.
It will most likely put a big move on the markets for #Gold, $DXY, the Yields and the indices.
What are the big…
— Michaël van de Poppe (@CryptoMichNL) August 27, 2023
*Not investment advice.
