TL;DR
- This week will be decisive for Bitcoin, as important economic data will be released in the United States.
- Employment figures and statements from Federal Reserve Chairman Jerome Powell could shift expectations regarding interest rates.
- As the dollar shows signs of weakness, many investors are turning their attention to digital assets as a store of value and an alternative to the traditional financial system.
After an 11% rally in May, Bitcoin has entered a consolidation phase, fluctuating between $104,000 and $109,000. Despite the recent all-time high of $111,980, the market appears to be catching its breath. But that could change soon. This week, five crucial economic reports could sway overall market sentiment, and consequently, that of cryptocurrencies.
It all begins today, June 2, when Federal Reserve Chairman Jerome Powell delivers a key speech in Washington. If he hints at monetary easing, the dollar could weaken, boosting alternative assets like Bitcoin.
On Tuesday, June 3, the JOLTS job openings report will be released. In March, job openings fell to their lowest level since 2024. If the decline continues, the Fed may opt to lower interest rates, a move historically favorable for cryptocurrencies.
Labor Data and Its Influence on Cryptocurrencies
On Wednesday, June 4, the ADP private employment report will reveal how many jobs were created in May. A rebound is expected compared to April’s weak figures. However, if job growth remains sluggish, expectations for a more dovish Fed will increase—something that has historically pushed Bitcoin higher as a hedge against inflation and economic uncertainty.
On Thursday, June 5, weekly jobless claims will be released. If the numbers come in higher than expected, markets may begin to anticipate economic stimulus policies. And on Friday, June 6, we wrap up with the official Non-Farm Payroll (NFP) employment report and the unemployment rate. A slowdown in job creation is expected, possibly due to the Trump administration’s tariff policies.
A Strained Economy and Bitcoin Viewed as a Safe Haven
The U.S. Gross Domestic Product contracted by 0.3% in the first quarter of 2025. While this decline is largely attributed to a surge in imports ahead of tariffs, it also reflects a drop in consumer spending and growing concerns about the country’s economic health.
Meanwhile, the Consumer Price Index stands at 2.3%, slightly above the Fed’s target, but not alarming. Analysts do not expect a rate cut before July, though this week’s data could bring that timeline forward.
In the face of uncertain monetary policy and geopolitical tensions, more and more investors are choosing to hold part of their wealth in crypto assets.
