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HTX DeepThink: With interest-rate decisions and inflation data arriving in quick succession, the coming 2 week may bring a high-volatility window for crypto markets

BlockBeats reports that October 23,HTX DeepThink columnist and HTX Research analyst Chloe noted that institutional buying has recovered, but short-term inflows remain insufficient to confirm a trend reversal. Based on calculations using Farside data,October 19 to 21 US spot BTC ETF had cumulative net inflows of approximately 1075000000 USD Over the remaining trading days this week, attention should be paid to the 23 day 21: 45 release of the US PMI preliminary reading, as well as the 22: 00 release of the University of Michigan consumer sentiment and inflation expectations. If economic activity remains strong and price pressures continue to rise, the rebound may still be constrained by interest-rate expectations.

Market volatility is expected to increase markedly next week. The Federal Reserve will announce its rate decision on the 29 day, 02: 00 and hold a press conference at 02: 30; on the same day, 20: 30 the US third-quarter GDP preliminary reading and September PCE data will be released in succession. The market currently leans toward October holding rates, with December another rate hike; a pause alone may not constitute a new positive catalyst, and the direction will depend more on subsequent tightening guidance.PCE released later than the rate decision, and an overnight rally could also be reversed that evening by inflation data.

The Bank of Japan's meeting from 29 to 30 is likewise an external variable to watch. If policy or guidance is more hawkish than expected and drives a rapid appreciation of the yen, carry-trade unwinding could amplify selling pressure on risk assets. During the US earnings season, technology stocks' market reaction to earnings and capital expenditure could also transmit to crypto-market risk appetite.

Over the coming 2 week, the market is more likely to undergo choppy recovery, event-driven shocks, and a repricing process; a broad-based rally remains a non-base-case scenario. If the Federal Reserve softens signals of subsequent rate hikes, core PCE comes in below expectations and ETF continues to record net inflows,BTC would have better conditions to break this week's high and drive ETH、SOL a catch-up rally; if hawkish guidance, an upside inflation surprise, or a rapid yen appreciation occurs, the market may retest recent lows, with high-volatility altcoins being more vulnerable.

Original link https://m.theblockbeats.info/flash/373324