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Key Takeaways Slowing GDP growth could increase interest in Bitcoin as an alternative investment. Economic indicators like job claims and GDP data are crucial for predicting crypto market trends. The US Gross Domestic Product (GDP) numbers rose by 1.4% quarterly, meeting market expectations. Additionally, the Core Personal Consumption Expenditures (PCE) inflation fell to 2.6%, also meeting analysts predictions. A third important market data was the jobless claims, as the initial claims came below the estimates, while the continuing claims went above the expected. Experts shared with Crypto Briefing that this paints a positive landscape for crypto. Jag Kooner, Head of Derivatives at Bitfinex, explains that the slowdown in GDP growth suggests a potential economic cooling, and this could impact investor sentiment. Consequently, this sentiment shift may lead to increased interest in Bitcoin and other digital assets as alternative investments, particularly if traditional markets show signs of weakening. “Historical trends indicate that during economic slowdowns, investors often turn to Bitcoin as a store of value,” added Kooner. Ben Kurland, CEO of DYOR, also sees the stable GDP growth as an indicator of perceived stability, which might help the crypto market as investors feel less need to move capital out of riskier assets. “However, the higher continuing jobless claims introduce some uncertainty, potentially tempering investor confidence. Overall, the crypto market will likely continue to be choppy, balancing stability in traditional markets with cautious sentiment,” said Kurland. Moreover, the initial jobs claims coming in slightly better could indicate more economic stability, which is normally good for the crypto space, according to Marko Jurina, CEO of Jumper.Exchange. “If not good, neutral at worst,” he added. Jurina also highlights that the GDP numbers show that the US economy is slowing down and high interest rates might be taking their toll. “My bet here would be…

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Filed under: News - @ June 29, 2024 12:22 am