Crypto Market Awaits Key Economic Data Amid Government Shutdown
The crypto market was gearing up for Fridayâs U.S.non-farm payrolls data, a critical economic indicator. Though, the ongoing government shutdown, now in its fourth day, has put this data in limbo. This report was expected to influence the Federal reserveâs interest rate decisions, impacting the crypto market.
Economists predict the economy added 39,000 jobs in September, up from 22,000 in August, with the unemployment rate staying at 4.3%. A weaker jobs report could be good for cryptocurrencies, as it might lead to a rate cut. However, Fed officials like Raphael Bostic and Jerome Powell have warned against cutting rates too soon due to inflation.
several major token unlocks are also happening this week. According to DeFi Llama, these unlocks total around $280 million.Notable ones include Zora, Sui, and tokens from EigenLayer, Immutable X, orderly, and Optimism.
Q4 is historically bullish for cryptocurrencies. Bitcoinâs average Q4 return since 2013 is 85%, and Ethereumâs is 23% since 2016. With recent market corrections, this seasonal trend could support a rebound.
Looking ahead, several events could drive prices higher. These include potential altcoin ETF approvals, further Federal Reserve rate cuts, and the anticipated Ethereum Fusaka upgrade. These factors set the stage for a strong finish to the year in the crypto market.
