The crypto market faces a crucial week ahead of the 2024 US presidential election. Three macro events are likely to influence cryptocurrency market sentiment.

These events, coupled with key tech earnings reports, could likely impact both traditional and crypto markets.

CB consumer confidence data set for Tuesday

The CB consumer confidence data, scheduled for release on Tuesday, is seen as a key indicator of economic sentiment.

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This metric has a direct impact on market psychology and investment behavior. For cryptocurrency markets, consumer confidence data may indicate broader risk appetite.

Strong trust numbers typically encourage investments in risky assets like cryptocurrencies. However, weak values ​​could potentially have a negative impact on crypto prices.

Personal Consumption Expenditures (PCE) inflation data for September will be released on Thursday. It is a preferred inflation indicator of the Federal Reserve.

This data point is particularly important for cryptocurrency markets. This is because inflation trends often influence the portrayal of Bitcoin as a hedge against currency devaluation.

Higher-than-expected inflation could strengthen Bitcoin’s position as a store of value, while lower values ​​could reduce immediate demand for inflation hedges.

Five of the “Magnificent Seven” publish winnings

Perhaps the most important influence this week comes from the earnings reports of major technology companies.

Five of the “Magnificent Seven” mega-cap companies – Alphabet, Microsoft, Meta Platforms, Apple and Amazon – will report their third quarter results.

These companies collectively account for 23% of the S&P 500’s weighting, so their performance is critical to overall market sentiment.

Magnificent Seven shares are currently trading at an average P/E ratio of 35. This reflects strong earnings growth compared to the overall market.

However, this growth gap is expected to narrow in the coming quarters. Their performance could have a major impact on the cryptocurrency markets.

This is due to the high correlation between technology stocks and digital assets in recent years.

Global Cryptocurrency Market Cap Rises 2%

This concentration of important events creates a potentially volatile trading environment for both traditional and crypto markets.

The cryptocurrency market has become increasingly sensitive to macroeconomic data and traditional market performance. This makes these events particularly relevant for digital asset traders.

The timing of these events, just before the US presidential election, adds additional stress.

Careful attention to these macro factors is required for cryptocurrency investors this week.

At the start of the week, the global crypto market cap increased by over 2% in the last 24 hours. At press time, the global cryptocurrency market cap was $2.33 trillion.

Total crypto market volume has increased by over 35% in the last 24 hours and stood at $59.26 billion at press time.

Bitcoin and Ethereum have shown similar developments, rising almost 2.5% in the last 24 hours.

Among the top ten cryptocurrencies by market capitalization, Dogecoin saw the highest increase with a 6% increase over the same period.