4 economic events in America related to cryptocurrency this week

This week promises to be lively with a series of important economic events in America that could have a strong impact on the portfolios of traders and investors.

These events are taking place against the backdrop of the American government still being in a shutdown, causing the release of economic data to be interrupted for nearly 30 days.

Notable economic data from America this week

To protect and optimize their investment portfolio, traders should pay attention to the following prominent economic events in America:

Economic events in America this week | Source: Trading Economics###FOMC interest rate decision

This is considered the most important event of this week, scheduled to take place on Wednesday, just five days after the release of the September CPI index.

On October 29, the (FOMC) will announce its decision on interest rates, clarifying whether the Federal Reserve of America (Fed) will maintain the current interest rate or signal the possibility of cuts in the future.

This decision is crucial, directly affecting liquidity, risk appetite, and trading trends across all markets.

Likelihood of interest rate cuts | Source: CME FedWatch toolAccording to the CME FedWatch tool, most investors (96.7%) expect the Fed to continue cutting interest rates by another 25 basis points, down to 4.00% at this FOMC meeting.

Press conference of Fed Chairman Jerome Powell

In addition to the interest rate decision, the market will pay special attention to the interest rate forecast chart ( dot plot ) and the tone of Fed Chairman Jerome Powell during the press conference that takes place half an hour after the FOMC results are announced.

Experts at AlphaBTC noted: “Powell's statements will shape expectations regarding the interest rate cut path in 2025. The market currently forecasts an additional 2-3 rate cuts, which could cause strong volatility this week.”

The market will closely analyze every word of Powell to look for signs of the Fed's policy direction in the near future, as his “dove” or “hawk” attitude could greatly influence investor sentiment.

Notably, at a recent business conference, Powell stated that the Fed's quantitative tightening process (QT) is gradually coming to an end. He also emphasized that the Fed is approaching the point of stopping the reduction of the balance sheet as the reserves of banks remain higher than what the Fed considers appropriate.

Despite many expectations, the continued government shutdown in America remains a pressure factor on the market.

( Initial unemployment benefit application data

In addition to interest rate issues, investors should also pay attention to the initial jobless claims data, which is scheduled to be released on Thursday. The U.S. labor market is currently a key macroeconomic factor for Bitcoin and many other assets.

This index reflects the number of American citizens who filed for unemployment benefits for the first time last week, thereby providing a clear insight into the health of the American labor market.

According to the Kobeissi Letter, the number of unemployment benefit applications submitted by federal employees has surged by 121% compared to the previous week, reaching 7,244 applications in the week ending October 11 – the highest level since the government shutdown in 2019.

Although the Department of Labor has temporarily suspended weekly reports, state-level data is still being maintained. Notably, the number of federal employees filing for unemployment benefits has increased by as much as 1,200% since the government shutdown on October 1.

Additionally, the number of continuing claims for unemployment benefits increased by 9% compared to the previous week, reaching 9,430 claims – the highest level in 3.5 years.

) Personal Consumption Expenditures Index ###PCE###

Finally, an economic event in America that cannot be overlooked is the personal consumption expenditure (PCE) index for September. In August, America's PCE inflation rose by 2.7% compared to the same period last year, higher than in July but still within the forecast.

Experts predict that the Fed will keep interest rates unchanged in October due to persistent inflation, as the PCE still exceeds the set target.

An investor shared: “I believe that the Fed will keep interest rates unchanged in October as inflation is still high, with PCE at 2.7%, core at 2.9%, and median around 3.3% – all exceeding the target.”

Traditional risk assets and digital currencies often react very quickly to economic events in America, especially changes in monetary policy.

Typically, when the Fed raises interest rates, it reduces the appeal of speculative assets. Conversely, expectations of interest rate cuts may improve market sentiment, thanks to lower borrowing costs and increased liquidity.

Cryptocurrency investors always keep a close eye on these factors, adjusting their positions based on the latest signals regarding policy and inflation.

Mr. Giáo