Bitcoin
US Economic Data to Watch This Week for Crypto Investors
Crypto markets brace for four important US economic events this week, starting Wednesday, February 12. These macroeconomic events could affect the portfolios of Bitcoin (BTC) holders, making it imperative for investors to adjust their trading strategies.
The influence of US economic events on Bitcoin and crypto generally is progressively resurfacing after a dried-up period in 2023.
CPI
The January CPI (Consumer Price Index) report on Wednesday starts the list of US economic data with crypto implications this week. It comes after December’s CPI rate was slightly increased to 2.9% year-over-year (YoY). Meanwhile, the core rate decreased to 3.2%.
In the latest meeting, the Fed kept its main interest rate steady at 4.25%- 4.50%. They articulated the need for continuous improvement in inflation before considering reducing rates. Forecasts from Cleveland Fed’s Inflation Nowcasting model suggest the main CPI rate will come in at 2.85%, representing a modest drop of 0.5%. They also predict the core rate to have slightly decreased to 3.13%.
Beyond US inflation figures, crypto markets will also be keen to hear remarks from Federal Reserve (Fed) Chair Jerome Powell. His testimony is expected to play a crucial role in deciding the direction of US interest rates. What he says about US President Donald Trump’s tariffs will be of significant interest.
BeInCrypto recently reported that the Fed is already concerned about Trump’s policies, prompting their measured rate-cut strategy.
“Many participants suggested that a variety of factors underlined the need for a careful approach to monetary policy decisions over coming quarters,” the December minutes indicated.
The US CPI data could affect risk-on assets like Bitcoin. High inflation would suggest a hawkish Federal Reserve stance, which could decrease the value of risk-on assets like Bitcoin in the short term. Higher interest rates can make traditional investments more attractive.
On the other hand, if CPI data shows lower-than-expected inflation, it may indicate a more dovish stance from the Fed. This would be positive for Bitcoin. Lower inflation rates could increase demand for Bitcoin as investors seek alternative investments to protect their wealth.
Initial Jobless Claims
On Thursday, the US Department of Labor (DoL) will release its weekly jobless claims report, which will shed light on the health of the US labor market. This US economic data indicates the number of people who filed for unemployment insurance last week, providing a snapshot of the labor market’s performance.
The previous initial jobless claims data came in at 219,000 for the week ending February 1. Lower-than-expected claims suggest continued job market strength, potentially signaling steady consumer spending and a resilient economy.
However, such strength might prompt the Fed to consider raising interest rates, which could boost the USD but weigh on Bitcoin.
PPI
Also, on Thursday, the US PPI (Producer Price Index) data will be out, offering insight into inflation at the producer level. It also provides early signals about future consumer prices and can influence investor sentiment.
The US Bureau of Labor Statistics (BLS) report could have crypto implications. This week’s US PPI report will disclose January’s producer-level inflation, with a median forecast of 0.3%. December’s data came in at 0.2% PPI, indicating that inflationary pressures were easing.
A higher-than-expected US PPI reading may indicate increasing production costs, leading to higher consumer prices. Investors may turn to assets like Bitcoin as a hedge against inflation, driving up demand and prices.
Positive or negative surprises in the US PPI data can also influence market sentiment and risk appetite. If the PPI shows rising inflation, investors may seek alternative assets like Bitcoin as a store of value or haven asset.
Conversely, lower-than-expected PPI figures could lead to risk-on sentiment in traditional markets, potentially influencing demand for cryptocurrencies.
Another perspective is the correlation between crypto and traditional markets. If rising PPI leads to a sell-off in equities, some investors may reallocate their capital to Bitcoin and other digital assets.
“CPI and PPI are coming in, but also a strong week for Crypto seems to be on the horizon. This week is comparable to any previous crisis period. During crisis periods, you’d want to be bullish, and max pain is upwards, not down,” crypto analyst Michaël van de Poppe urged.
Retail Sales
US retail sales data provides valuable insights into consumer spending patterns, economic growth, and overall market sentiment. If Friday’s US economic data is better than expected, it would indicate strong consumer spending and confidence in the economy.
This positive economic outlook could spill over into the cryptocurrency market, as investors may interpret it as a sign of overall market strength and stability.
Higher consumer spending could lead to increased disposable income, which some individuals may allocate to cryptocurrencies like Bitcoin.
According to data from BeInCrypto, BTC was trading for $97,040 as of this writing, down by 0.01% since Monday’s session opened.
Disclaimer
In adherence to the Trust Project guidelines, BeInCrypto is committed to unbiased, transparent reporting. This news article aims to provide accurate, timely information. However, readers are advised to verify facts independently and consult with a professional before making any decisions based on this content. Please note that our Terms and Conditions, Privacy Policy, and Disclaimers have been updated.
Michael Saylor announced that Strategy purchased nearly $2 billion worth of Bitcoin. This is a massive leap over last week’s purchase, which was already quite substantial.
Nonetheless, the firm was only able to make this acquisition thanks to major stock offerings. Bitcoin’s price has been sinking over the last few weeks, and this could mature into a potential liquidation crisis.
Strategy Maintains Bitcoin Purchases
Since Strategy (formerly MicroStrategy) began acquiring Bitcoin, it’s become one of the world’s largest BTC holders. This plan has totally reoriented the company around its massive acquisitions, inspiring other firms to take up the same plan.
Today, the firm’s Chair, Michael Saylor, announced another purchase, much larger than the last few.
“Strategy has acquired 22,048 BTC for ~$1.92 billion at ~$86,969 per bitcoin and has achieved BTC Yield of 11.0% YTD 2025. As of 3/30/2025, Strategy holds 528,185 BTC acquired for ~$35.63 billion at ~$67,458 per bitcoin,” Saylor claimed via social media.
Strategy’s latest Bitcoin acquisition, worth just shy of $2 billion, is a major commitment. In February, the firm made a similar $2 billion purchase, and it was followed by a tiny $10 million buy and a $500 million one. The $500 million purchase, which took place on March 24, only happened thanks to a huge new stock offering. This move further cements Strategy’s faith in BTC.
By making these billion-dollar buys, Strategy is able to buttress the entire market’s confidence in Bitcoin. However, investors should be aware of a few potential cracks.
First of all, Bitcoin’s performance is a little subpar at the moment. Despite hitting an all-time high recently, Bitcoin is having its worst quarter since 2019, and there is not much forward momentum.
This could cause a unique problem for the company. Since Strategy is a cornerstone of market confidence, it is unable to offload its assets without jeopardizing Bitcoin’s price.
The firm’s debts are growing at a fast rate, and this could have dangerous implications if Bitcoin keeps falling. Strategy could be forced to liquidate, even if that seems unlikely now.
Still, it’s important to remember that these are only possible scenarios. Strategy has maintained its consistent Bitcoin investments for nearly five years, and it’s paid off tremendously well. However, if it keeps taking on billions in fresh debt obligations, this faith will turn into a gamble with very high stakes.
Disclaimer
In adherence to the Trust Project guidelines, BeInCrypto is committed to unbiased, transparent reporting. This news article aims to provide accurate, timely information. However, readers are advised to verify facts independently and consult with a professional before making any decisions based on this content. Please note that our Terms and Conditions, Privacy Policy, and Disclaimers have been updated.
Bitcoin (BTC) is on track to end Q1 with its worst performance since 2019. Without an unexpected recovery, BTC could close the quarter with a 25% decline from its all-time high (ATH).
Some analysts have noted that experienced Bitcoin holders are shifting into an accumulation phase, signaling potential price growth in the medium term.
Signs That Veteran Investors Are Accumulating Again
According to AxelAdlerJr, March 2025 marks a transition period where veteran investors move from selling to holding and accumulating. This shift is reflected in the Value Days Destroyed (VDD) metric, which remains low.
VDD is an on-chain indicator that tracks investor behavior by measuring the number of days Bitcoin remains unmoved before being transacted.
A high VDD suggests that older Bitcoin is being moved, which may indicate selling pressure from whales or long-term holders. A low VDD suggests that most transactions involve short-term holders, who have a smaller impact on the market.
Historically, low VDD periods often precede strong price rallies. These phases suggest that investors are accumulating Bitcoin with expectations of future price increases. AxelAdlerJr concludes that this shift signals Bitcoin’s potential for medium-term growth.
“The transition of experienced players into a holding (accumulation) phase signals the potential for further BTC growth in the medium term,” AxelAdlerJr predicted.
Bitcoin’s Sell-Side Risk Ratio Hits Low
At the same time, analyst Ali highlighted another bullish indicator: Bitcoin’s sell-side risk ratio had dropped to 0.086%.
According to Ali, over the past two years, every time this ratio fell below 0.1%, Bitcoin experienced a strong price rebound. For example, in January 2024, Bitcoin surged to a then-all-time high of $73,800 after the sell-side risk ratio dipped below 0.1%.
Similarly, in September 2024, Bitcoin hit a new peak after this metric reached a low level.
The combination of veteran investors accumulating Bitcoin and a sharp decline in the sell-side risk ratio are positive signals for the market. However, a recent analysis from BeInCrypto warns of concerning technical patterns, with a death cross beginning to form.
Additionally, investors remain cautious about potential market volatility in early April. The uncertainty stems from President Trump’s upcoming announcement regarding a major retaliatory tariff.
Disclaimer
In adherence to the Trust Project guidelines, BeInCrypto is committed to unbiased, transparent reporting. This news article aims to provide accurate, timely information. However, readers are advised to verify facts independently and consult with a professional before making any decisions based on this content. Please note that our Terms and Conditions, Privacy Policy, and Disclaimers have been updated.
Marathon Digital Holdings, one of the largest Bitcoin mining companies in the US, made headlines with its announcement of a $2 billion stock offering to increase its Bitcoin holdings.
This strategic move, detailed in recent SEC filings, shows Marathon’s aggressive approach to capitalize on the growing crypto market.
Marathon’s $2 Billion Stock Offering: Key Details
On March 30, 2025, Marathon Digital Holdings announced a $2 billion at-the-market (ATM) stock offering to fund its strategy of acquiring more Bitcoin. The company filed a Form 8-K with the SEC, outlining its plan to raise capital through the sale of shares, with the proceeds primarily aimed at increasing its Bitcoin holdings.
According to the SEC filing (Form 424B5), Marathon intends to use the funds for “general corporate purposes,” which include purchasing additional Bitcoin and supporting operational needs.
Marathon holds 46,376 BTC, making it the second-largest publicly traded company in Bitcoin ownership, behind MicroStrategy. The company’s Bitcoin holdings have grown significantly in recent years, from 13,726 BTC in early 2024 to the current figure.
“We believe we are the second largest holder of bitcoin among publicly traded companies. From time to time, we enter into forward or option contracts and/or lend bitcoin to increase yield on our Bitcoin holdings.” Marathon confirmed
This $2 billion stock offering continues Marathon’s strategy to bolster its balance sheet with Bitcoin, a move that aligns with its long-term vision of leveraging cryptocurrency as a store of value.
Marathon’s strategy mirrors that of MicroStrategy. MicroStrategy’s stock price has soared with Bitcoin’s value, providing a blueprint for companies like Marathon to follow. By increasing its Bitcoin holdings, Marathon aims to position itself as a leader in the crypto mining sector while diversifying its revenue streams beyond traditional mining operations.
Marathon Digital CEO Fred Thiel advises investing small amounts in Bitcoin monthly, citing its consistent long-term growth potential.
The issuance of new shares to raise $2 billion could dilute the ownership of existing shareholders, potentially impacting the company’s stock price (MARA). As of March 31, 2025, MARA stock has experienced volatility, trading at around $12.47 per share, down from a 52-week high of $24, according to data from Yahoo Finance.
Moreover, Marathon’s heavy reliance on Bitcoin exposes it to the cryptocurrency’s price fluctuations. If Bitcoin’s price were to decline significantly, the value of Marathon’s holdings would decrease, potentially straining its financial position.
Disclaimer
In adherence to the Trust Project guidelines, BeInCrypto is committed to unbiased, transparent reporting. This news article aims to provide accurate, timely information. However, readers are advised to verify facts independently and consult with a professional before making any decisions based on this content. Please note that our Terms and Conditions, Privacy Policy, and Disclaimers have been updated.
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