Bitcoin, currently at $80,953.41, has dropped 3% in morning Asian trading, hovering near $77,000 as the market prepares for a week filled with significant macroeconomic events. The move seems to be driven by caution rather than a change in sentiment. According to Singapore-based market maker Enflux, traders are hesitant to drive bitcoin prices higher ahead of the upcoming rate decision and various data releases, including GDP, PCE inflation, and the Employment Cost Index, which will influence expectations for potential Fed rate cuts in the second half of the year.
The primary constraint at present is oil, with Brent crude remaining above $100, complicating the inflation outlook and making a dovish signal from Fed Chair Jerome Powell less likely. Enflux notes that the market operates under two conflicting assumptions: geopolitical tensions will eventually ease, but any resolution will not come quickly enough to impact near-term policy. This has effectively ruled out rate cuts for June and created a more ambiguous environment for risk assets. As a result, bitcoin has struggled to surpass key technical levels, trading roughly 4% below its short-term holder cost basis near $80,700, a level often seen as a proxy for marginal buyer conviction.
A decisive move above this level would likely require a clear signal from the Fed that oil-driven inflation is temporary. Otherwise, Enflux expects bitcoin to trade cautiously into Thursday's data releases, with sharper moves more likely tied to macroeconomic prints than the Fed statement itself. Beyond this week, a less visible factor may also influence bitcoin's next moves. The Wall Street Journal reported that OpenAI has missed key revenue targets, raising questions about the pace of AI demand.
Listed BTC mining companies have taken on significant debt while selling portions of their treasuries to pivot to hosting AI data centers, a venture believed to be more profitable than mining. A slowdown in this pivot could potentially slow selling.
When demand for compute is strong, miners have the incentive and financing to continue building, often leading to continued BTC sales to fund capital expenditures and service debt. However, if OpenAI's miss signals that AI growth may not keep pace with expectations, the dynamic becomes more complex.
A slowdown in AI expansion could ease miner-driven selling over time, removing a source of supply. The issue is timing: sell pressure on semiconductor and data stocks due to weaker tech and risk appetite would likely bring down the crypto market, while any relief from slower miner selling would come later. In this sense, the AI story reinforces Enflux's broader point: the market is stuck between competing macro forces, and any slowdown in AI demand adds another layer of uncertainty without immediately resolving the ones that matter most for price. For now, this keeps bitcoin trading in a narrow band, waiting for a clearer signal.