3 things that can affect the prices of Crypto and Bitcoin This week

Crypto assets entered a bear market over the weekend, and more volatility could be ahead this week.

The crypto market sell-off continued over the weekend as investors were jittery over US President Trump’s nomination to chair the Federal Reserve.

The new chairman of the Fed, Kevin Warsh, is considered a hawk and may not cut interest rates as quickly or as investors expected, given his inflationary stance.

“It’s all about the labor market and wages this week,” said the Kobeissi Letter, which also noted that “the earnings season is growing and economic uncertainty is increasing.”

Economic Events Feb. 2 to 6

Monday starts the week with the January ISM Manufacturing PMI data report, which sheds light on the health of the US manufacturing sector.

The big week of labor market data starts on Tuesday with the December JOLTS Job Openings data, followed by the Initial Labor Claims report on Thursday, and the January Jobs Report on Friday.

“We haven’t had much of a cleanup of the labor market situation and inflation because of that government shutdown last year, so we think that’s going to be more important than usual,” Michael Reynolds, Glenmede’s vice president of investment strategy, told Reuters.

Following the Fed’s meeting last Wednesday, markets are now pricing in the central bank to hold off on rate cuts until June, although any surprise weakening in the labor market could derail expectations, the report said.

Important Events this week:

1. January ISM Manufacturing PMI data – Monday

2. December JOLTS Job Openings data – Tuesday

3. Alphabet, $GOOGLLead Reports – Wednesday

4. Initial Unemployment Claims Data – Thursday

5. Amazon, $AMZNLead Reports – Thursday

6. January Activities…

— The Kobeissi Letter (@KobeissiLetter) February 1, 2026

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Another big set of corporate earnings, including ‘Magnificent 7’ pair Alphabet and Amazon, will weigh on stock markets this week after a disappointing report from Microsoft.

Crypto Markets Hit All-Year Lows

More than $250 billion left crypto markets over the weekend, dropping the total value of the currency to $2.67 trillion, the lowest level since April 2025.

All the gains of the past nine months have now been wiped out as markets enter bear market territory, and the four-year cyclical pattern appears unchanged.

Bitcoin fell to a nine-month low, falling slightly below $76,000 during early Monday morning trading in Asia. The drop is 40% off the all-time high.

Ether prices have returned to bear market declines, falling 14% over the weekend to a low of $2,250, their lowest level since May 2025.

Altcoins have been wiped out, and most are now down 70% to 80% from their peaks as the sell-off of fear continues for another week.