Key U.S. Economic Events That May Impact Bitcoin Sentiment This Week

As Bitcoin bulls maintain their grip above the $90,000 mark despite geopolitical turbulence, traders are focusing on a busy U.S. economic schedule that could significantly influence crypto sentiment. With uncertainty surrounding Federal Reserve (Fed) rate-cut expectations, important data releases and speeches could lead to sharp movements in Bitcoin and other cryptocurrencies.

Key Takeaways

Bitcoin is currently being defended above the $90,000 psychological threshold.
Upcoming events from U.S. economic data and key speeches could sway cryptocurrency markets.
Markets are particularly sensitive to Federal Reserve signals regarding rate cuts.
Lower jobless claims may strengthen the U.S. dollar, impacting Bitcoin negatively.
Consumer sentiment reports could influence retail interest in Bitcoin.

Crucial U.S. Economic Events to Monitor This Week

Here’s a summary of four significant events predicted to have ripple effects across the crypto markets this week.

1. Trump at the World Economic Forum

Scheduled for January 21 at 1:30 PM ET, President Donald Trump's address at the World Economic Forum in Davos is expected to be a significant market driver. His past unscripted comments on trade, tariffs, and geopolitical issues have generated considerable market reactions.

As the largest U.S. delegation to attend Davos gathers, Trump's remarks may cover ongoing tariff disputes and economic policies, which could directly affect the strength of the U.S. dollar and the global risk appetite. Given that crypto markets are highly influenced by macroeconomic shifts, any hints of a hawkish trade approach may lead to volatility, likely pressuring Bitcoin prices. Alternatively, a positive, growth-focused message could lead to a rally.

2. Initial Jobless Claims Report

The Initial Jobless Claims report, coming out on January 22 at 1:30 PM ET, provides insight into the U.S. labor market health by indicating how many people filed for unemployment insurance for the first time. Economists predict an increase to 203,000 jobless claims for the week ending January 15, up from 198,000 the previous week.

This high-impact data follows a resilient employment picture, where earlier figures came in at 198,000, significantly below an expected 215,000. If claims continue to remain low, it could bolster hawkish Fed expectations, thereby raising yields and putting pressure on risk-sensitive assets like cryptocurrencies.

Recent trends indicate that jobless claims are near all-time lows when adjusted for labor force size, signaling a strong economy with no signs of recession. If claims come in lower than expected, it may dampen Bitcoin sentiment, pushing the price down from the recent $90,000 highs due to fears over delayed rate cuts. Conversely, a higher number of claims could revive hopes for easing, potentially supporting a price rebound.

3. Core PCE Price Index Release

On January 22 at 1:30 PM ET, the Core PCE Price Index—an important measure of inflation favored by the Fed—is expected to be reported at 0.2%, an increase from the previous 0.1%. This data, along with last November’s figures, will help shape expectations around rate cuts for 2026. If inflation remains high, it could delay rate cuts and bolster the U.S. dollar.

Persistent inflation above target levels might reduce risk sentiment, further drawing capital away from Bitcoin. Recent analyses indicate growing connections between PCE readings and cryptocurrency volatility, indicating possible surprises due to the current tariff discussions. Higher-than-expected PCE figures could exert downward pressure on Bitcoin prices, while lower results might enhance market sentiment.

4. Consumer Sentiment Report

Finally, on January 23 at 3:00 PM ET, the Revised University of Michigan Consumer Sentiment Index for January is anticipated to remain at 54.0, unchanged from prior estimates. This figure represents a historically low level not seen in 75 years, indicating a struggling sentiment among average consumers, a crucial demographic for retail-driven crypto adoption.

Low consumer sentiment could dampen enthusiasm for Bitcoin, particularly as institutional interest grows. If the revision exceeds forecasts, it may signal improved conditions, lifting sentiment for Bitcoin; on the other hand, a disappointing report could lead to additional caution in the markets.

As of this writing, Bitcoin is trading at $92,663, reflecting a nearly 3% decrease over the past 24 hours.

Bitcoin Price Performance