The crypto market is in celebratory mode as Bitcoin achieves a new all-time high (ATH) of $123,226. This milestone comes as the king crypto broke its previously established ATH of $118,000, set just 2 days ago. On the other hand, Ethereum – the top altcoin by market cap – has also climbed past $3,000 yet again. 

However, amid the ongoing rally, this week will feature several U.S economic indicators capable of affecting the crypto market performance. These U.S economic signals will potentially determine whether Bitcoin and the general crypto market continues to pump or derail. 

Bitcoin Surges to $123,000 — Is $130K the Next Stop?

Driven by institutional adoption, Bitcoin has been on an upward rally. July in particular, has seen Bitcoin breach $112,000, then $118,000 and now $123,000. As posted by Vivek (a top crypto analyst) on X, BTC breached the $123,000 resistance earlier today, peaking at $123,226. 

However, as of this writing, the BTC has now corrected to $121,524 as per TradingView data. But still, Bitcoin is up by over 3% over the last 24 hours. 

Moving forward, investors are eyeing a Bitcoin move to $130,000. Achieving this level would mean yet another milestone for BTC. Some analysts are speculating that the coin could achieve this milestone soon enough. 

“$130,000 #BITCOIN IS THE NEXT VICTIM. TIGHTEN YOUR SEATBELTS” Vivek wrote after the recent rally. However, such a move wouldn’t be without resistance. 

In case of a pullback, Bitcoin could drop to the support at $117,428. In case of a deeper dive, the next support lies around $110,114. Moving forward, investors must monitor the ETF flows and whale moves to determine whether Bitcoin’s momentum will hold or fade out. 

Ethereum Reclaims $3,000, But What’s Next?

As Bitcoin rallied, Ethereum has also followed through surging past $3,000 yet again. As per the daily chart on TradingView, ETH is currently trading at $3,039. The current level marks over a 2% surge in price on the day. 

As Ethereum continues to rally, analysts are eyeing the coin to reach even higher.  Crypto analyst Ash Crypto for instance predicts that ETH is headed towards $3,400 next. 

“$ETH IS GOING TO $3400 NEXT,” Ash Crypto shared. 

However, Ethereum must clear the resistance level at $3,198 first to reach the predicted level. In case of a pullback, the coin has strong support at $2,907. A breach of this level would send ETH down towards the next support at $2,621. 

What to Expect in the Crypto Market This Week?

This week, there are several U.S economic data that could influence volatility across the crypto market. In particular, according to Coinvo, the most important data to watch out for this week is the US Consumer Price Index (CPI), the Producer Price Index (PPI) and the Initial Jobless Claims. 

Set for release on Tuesday July 15, an increase in June’s CPI could prompt tighter monetary policy from the US Federal Reserve (the Fed). In such a case this would put pressure on Bitcoin. However, a drop in the CPI would have a positive impact on the crypto market with investors hoping for early rate cuts. 

On the other hand, the U.S PPI data is also set to have an impact on Bitcoin and the general crypto market. Set to be released on July 16, a surge in PPI will signal potential inflation ahead, hence resulting in rate hike fears. This could hurt BTC in the short term as liquidity tightens. However, a drop in PPI will reduce inflation fears resulting in better monetary policy. 

Besides the CPI and PPI, the Initial Jobless Claims data is set to be released on July 17. Rising claims will signify that the US labor market is weakening, further prompting the Fed to cut rates to stimulate the economy. This would be bullish for the crypto market. But, a drop in claims would have a negative impact on the market.