Bitcoin (BTC) maintained a steady price around $105,435 to $105,650 as investors adopted a cautious stance ahead of significant upcoming economic events. Key among these is the release of the US Consumer Price Index (CPI) data for May, which is expected to show an acceleration in core inflation to 2.9% annually—the first rise in 2025—largely attributed to the impact of Trump-era tariffs. This inflation data will be closely watched for its potential influence on Federal Reserve monetary policy, particularly given the proximity of the Fed's June 17-18 meeting.
Meanwhile, tensions surrounding the US-China trade relationship have taken a hopeful turn with high-level trade talks resuming in London, marking the first formal negotiation since a prior tentative agreement. Positive sentiment from these talks contributed to gains in Asian stock markets, notably the Hang Seng index exceeding 24,000 for the first time since March. However, despite optimism in trade relations, China continues to struggle with deflationary pressures, including declining consumer and producer prices.
Cryptocurrency market volatility remains subdued, with Bitcoin's implied volatility below 40% and Ethereum's around 65%. Other major cryptocurrencies, including Ethereum (ETH), XRP, Solana (SOL), Cardano (ADA), and Polygon (MATIC), showed minimal price movement, while meme tokens such as Dogecoin (DOGE) and TRUMP witnessed slight declines.
On the industry front, Gemini crypto exchange has confidentially filed for a US initial public offering (IPO), joining a growing trend of crypto firms going public, following Circle Internet Group's recent IPO. Regulatory developments are also in focus, with the SEC hosting a DeFi roundtable and anticipating decisions on legislation like the Crypto Market Structure Bill and the Litecoin spot ETF application, which is expected to face delays.
MicroStrategy plans to raise approximately $1 billion through preferred stock to expand its Bitcoin holdings, continuing its aggressive accumulation strategy. Overall, the crypto market's cautious stance reflects uncertainty around pivotal economic and regulatory events scheduled for the week.