Asia Pacific Morning Brief – Crypto Weekly Wrap & Outlook
Last week, US economic data and expectations for interest rate cuts dominated the markets. While US stocks rose, Bitcoin and other cryptos had mixed results.
US Jobs Data Weakens, Rate Cut Hopes Rise
- In July, the US added only 73,000 jobs, sparking recession concerns.
- In August, the number dropped further to just 22,000 jobs, with June revised down to a loss of 13,000.
- The unemployment rate inched up to 4.3%.
- Because of this, traders now expect the US Fed to cut rates three times this year.
This news pushed Bitcoin briefly above $113,000, but it couldn’t hold the gains as tech stocks (especially AI-related) pulled the market lower.
Bitcoin ETFs also saw weakness. On Friday, $160 million flowed out of spot BTC ETFs, including a $63 million outflow from BlackRock’s fund.
Crypto Market Performance
- Bitcoin (BTC): +2.72% last week, but struggled to stay above $113,000.
- Solana (SOL): +2.64%.
- Ethereum (ETH): -2.07%, hit hardest by large ETF outflows of $780 million in one week.
Ethereum’s price was supported slightly by companies like Bitmine, SharpLink Gaming, and The Ether Machine, which kept buying ETH.
What’s Next: Key Data This Week
Investors are now waiting for US inflation reports:
- Producer Price Index (PPI) (Wed): Expected +0.3% month-over-month.
- Consumer Price Index (CPI) (Thu): Expected +2.9% year-over-year. Core CPI +3.1%.
- Weekly jobless claims (Thu).
If inflation comes in lower than expected, it could strengthen bets on Fed rate cuts and boost risk assets—including Bitcoin and Ethereum.
