Crypto markets returned to the green on Monday morning after a weekend of losses that pushed them to their lowest point in this bear market cycle.
The coming week could intensify those declines as inflationary pressures persist and no diplomatic solution appears imminent between the US and Iran.
“We expect another volatile week ahead after Friday’s sharp drop in AI stocks,” said the Kobeissi Letter.
Economic Events: June 8–12
On the geopolitical front, President Trump suggested Israeli Prime Minister Netanyahu will have “no choice” but to accept a US-brokered deal with Iran, saying he “calls the shots.”
Missile strikes involving the US, Israel, and Iran continued over the weekend, and oil prices are climbing again, adding pressure to global markets.
May existing home sales are scheduled for release on Tuesday, but attention will be focused on Wednesday’s Consumer Price Index (CPI) inflation report.
That CPI print could be pivotal ahead of the Federal Reserve’s rate decision on June 17, as investors search for signs the Fed might resume rate hikes.
Analysts at AJ Bell noted that May’s consumer price report will be an important gauge of how rising prices are affecting household spending, according to coverage in the Wall Street Journal.
“With inflation running persistently ahead of the Fed’s 2% target, a hotter-than-expected print will make it difficult for policy makers to argue for further rate cuts.”
Despite those concerns, CME Group’s FedWatch tool currently shows a 97% probability that the Fed will keep rates unchanged at its next meeting.
On Thursday, the Producer Price Index (PPI) for May is due, which could add further upward pressure on inflation expectations if the print is hot.
Michigan’s Inflation Expectations and Consumer Sentiment reports are scheduled for Friday and will provide additional insight into household outlook and behavior.
Key Events This Week:
1. May Existing Home Sales data – Tuesday
2. May CPI Inflation data – Wednesday
3. May PPI Inflation data – Thursday
4. OPEC Monthly Report – Thursday
5. MI Inflation Expectations data – Friday
6. MI Consumer Sentiment data – Friday
All eyes are on…
— The Kobeissi Letter (@KobeissiLetter) June 7, 2026
Crypto Market Outlook
Crypto valuations dropped to levels not seen since October 2024, with the total market capitalization sliding to about $2.17 trillion over the weekend.
Bitcoin dipped below $60,000 on Saturday, marking a new cycle low, but recovered to roughly $63,000 by Monday morning in Asia. Over the past week the coin has lost around 14%, pressured largely by geopolitical tensions and some strategic selling of BTC.
Ether has faced tougher losses, falling to just above $1,500 — its weakest point in 14 months — before a modest rebound to about $1,700 on Monday. Overall, ETH remains deep in a prolonged downturn.