On Monday, cryptocurrencies showed limited bullish momentum, influenced by the anticipation surrounding U.S.-China trade talks and upcoming U.S. inflation data. The market's cautious stance reflects broader economic uncertainties.
Bitcoin's network activity experienced a slowdown, with the seven-day moving average of daily on-chain transactions dropping to 315.48K, the lowest in at least a year, according to Blockchain.com data. XRP struggled to gain traction, trading at $2.24, down over 1% on the day. The XRP Ledger's APEX 2025 conference in Singapore this week may increase volatility.
DOGE decreased by nearly 2%, nearing 18 cents, failing to surpass the 100-day simple moving average (SMA) over the weekend. The Hang Seng index in Hong Kong rose 1.3%, surpassing the 24,000 mark for the first time since March 24, driven by optimism regarding U.S.-China trade talks.
China's consumer prices fell 0.1% year-over-year in May, and producer prices dropped 3.3% year-over-year, indicating deflationary pressures. The U.S. consumer price index for May, to be released Wednesday, will be closely watched for signs of tariff-related inflation.
Economists anticipate the headline CPI to match April's 0.2% month-on-month growth, equating to an annualized 2.5% rise. Core inflation is predicted to increase to 2.9% in May from 2.8% in April. A higher-than-expected inflation reading could impact the Federal Reserve's rate cut plans, potentially causing market volatility.