In this week’s preview, we delve into five key events that are set to shape the bitcoin and cryptocurrency market. From bitcoin‘s price trajectory targeting the $38,000 mark to Federal Reserve Chairman Jerome Powell’s anticipated speech, each event has significant potential to influence market dynamics.
#1 bitcoin Price Targets $38,000
bitcoin momentum remains strong as it closes its sixth consecutive week higher. The bullish market sentiment is largely driven by anticipation of a bitcoin spot ETF and the upcoming halving in mid-April. Communications between ETF applicants and the US Securities and Exchange Commission (SEC) have intensified in recent weeks, hinting at an imminent arrival of bitcoin spot ETFs.
In view of this, sentiment is currently extremely bullish, especially in the spot market, which is very important for price movements to be sustainable.
Cryptocurrency Trader Daan crypto Trades commented, “bitcoin (is) trading at yearly highs at a spot premium. Open interest in btc is still about 25% below its highs from a few months ago, indicating a lack of overheating in the market.”
Mags, another cryptocurrency trader, hinted at the possibility that bitcoin price could quickly rise to $42,000 if the current key resistance is broken. He said: “bitcoin‘s slow rise over the last 33 days is significant. With $38,000 as a crucial resistance point, breaking it could lead to an increase to $42,000.”
#2 PCE inflation data (Thursday)
The U.S. Bureau of Economic Analysis will release the Personal Consumption Expenditures Price Index on Thursday at 8:30 a.m. ET. This index, which excludes food and energy, is a preferred measure of inflation by the United States Federal Reserve (Fed). Forecasts suggest a year-over-year change for October of 3.5% (up from 3.7%) and a month-over-month change of 0.2% (up from 0.3%). A confirmation of decreasing inflation could have a positive impact on financial markets, including bitcoin and cryptocurrencies.
#3 Fed Chairman Powell speaks (Friday)
Federal Reserve Chairman Jerome Powell will deliver another speech this Friday. In recent weeks, he has emphasized the Federal Reserve’s commitment to fighting inflation.
Powell has acknowledged the challenges posed by high inflation rates and has indicated that the Federal Reserve is willing to take necessary steps to ensure price stability, which could include continued interest rate increases or other adjustments to monetary policy. . However, favorable inflation data may soften Powell’s stance. The market will listen carefully.
#4 Chainlink Stake V0.2 goes live
Chainlink’s Staking v0.2 update will begin on November 28, 2023, with a gradual rollout. Priority migration for version 0.1 stakeholders begins on this date, followed by an early access phase starting December 7 for eligible community members.
General access opens on December 11, allowing all users to participate. This update could positively influence LINK market dynamics in the coming weeks.
#5 Is the Cosmos (ATOM) hard fork coming?
A potential hard fork on the Cosmos blockchain, prompted by founder Jae Kwon’s call for a split, could significantly impact the ATOM token. This follows the community’s approval of Proposition 848, which reduces the ATOM inflation rate.
Kwon proposed the hard fork, AtomOne, to support both ATOM and a new token, ATOM1. John Galt, a Cosmos expert, believes this move could resolve internal conflicts and be beneficial to ATOM holders, possibly leading to a substantial air launch.
1/8 @JaeKwonthe founder of Cosmos, has declared that he will lead a fork of @CosmosHub.
If the fork were to occur, it would likely result in the largest ATOM airdrop ever. And it would resolve years of political tension, something very optimistic for Cosmos Hub.
What you need to know pic.twitter.com/aqM4CJccC1
– John Galt (@lurkaroundfind) November 26, 2023
#Bonus: Token Unlock
The cryptocurrency market will see two major token unlocks this week. On November 28, $524 million worth of DYDX tokens will be unlocked for investors and the team, albeit on the DYDX chain, which is not currently supported by centralized exchanges (CEX).
Additionally, the SUI network will also experience a major token unlock. SUI tokens worth $48 million, 8% of its supply, are scheduled to be unlocked on Tuesday, November 28.
At press time, bitcoin was trading at $37,402.
Featured image from Shutterstock, chart from TradingView.com
