As we venture into another week of crypto market volatility, high-stakes trading, and groundbreaking developments, Cryptopolitan aims to provide investors like you with actionable insights, crucial dates, and important trends to keep an eye on. The crypto market is not for the faint-hearted, and even seasoned traders know that an educated decision is always better than a guess. Here’s what you should be paying attention to this week:
Crypto markets set for a busy week
From major announcements by tech giants and financial institutions about crypto adoption or regulation to critical technical analysis, this analysis has got you covered. We will delve into upcoming ICOs, forks, and updates that could impact various cryptocurrencies.
Consider this your roadmap for the week, designed to help you make the most of your investments while minimizing unnecessary risks. Here are details for the US markets.
Wednesday’s US CPI Report for August will be of interest. In the wake of the most recent Core PCE Price Index and personal spending data, an acceleration in inflation would fuel wagers on additional Fed rate increases.
On Thursday, you must also consider US retail sales and initial unemployment claims. Tight labor market conditions support wage growth. A pick-up in wage growth mitigates the effects of Fed rate increases, boosting consumer spending and demand-driven inflation.
The EUR is in a precarious position, as ECB monetary policy and economic insecurity challenge buyer appetite.
On Tuesday, the German and Eurozone ZEW Economic Sentiment figures begin off the week. The deteriorating macroeconomic environment is indicative of a precipitous decline in sentiment.
The Eurozone’s industrial output (Wednesday) is likely to confirm manufacturing sector difficulties. However, wage growth for the second quarter in the Eurozone (Friday) will impact ECB monetary policy expectations. An acceleration in wage growth would stimulate expenditure and demand-driven inflation, a concern for the ECB.
The economic indicators will provide guidance, but the ECB’s monetary policy decision and press conference on Thursday will be the main event. Economists anticipate that the ECB will maintain its current monetary policy, leaving ECB President Lagarde in charge of the markets.
This week, the Chinese economy will continue to exert influence. Investors anticipate that economic conditions will continue to improve.
Industrial output, retail sales, investments in fixed assets, and unemployment rates will move the dial. Market analysts anticipate that industrial output and retail sales would generate the most interest.
Weaker-than-expected figures and a lack of further policy measures to boost growth would weigh on riskier assets.
PEPE to continue a downward September market trend
In May 2023, the price of Pepecoin reached an all-time high of $0.00000448. Since then, it has fallen by more than 85%. In September, this market’s adverse momentum is likely to persist. In the following week, this trend is anticipated to accelerate. The distribution of the token’s supply provides additional evidence that Pepecoin’s investors have left the project.
Notably, addresses with a balance between 100 million and 1 billion PEPE (represented by the blue wave in the graph below) control approximately 96.5% of the token’s maximal circulating supply. Since the emergence of rug-pull concerns, the supply held by this cohort has decreased significantly.
FTX prepares to liquidate $3.4B in Cryptos
The crypto market is rife with rumors as the upcoming week is expected to bring about significant developments. The focus is on the troubled crypto exchange FTX, which is anticipated to obtain court approval to liquidate an estimated $3.4 billion worth of cryptocurrencies.
According to reports, FTX could receive the go-ahead for liquidation on September 13. Stakeholders are concerned about the market’s potential negative repercussions.
The potential fire sale has sparked concern, particularly regarding the altcoins in FTX’s possession. According to their records, Solana represents the majority of their assets, which are valued at approximately $685 million.
This impending uncertainty has sparked a frenzy among SOL investors, as evidenced by a 5.1% price decline over the past twenty-four hours.
In addition, FTT, the exchange’s proprietary token, accounts for $529 million of the liquidating assets. The limited liquidity and market depth of FTT raise questions about FTX’s strategy for liquidating these tokens.
FTX’s portfolio also includes significant portions of other cryptocurrencies, such as Aptos, Dogecoin, Polygon’s MATIC, and XRP.
In addition, FTX is reportedly reevaluating the promotional fees it paid to athletes such as Naomi Osaka and Shaquille O’Neal. During its peak, the now-defunct exchange lavished significant marketing funds on celebrities
