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    Rizwan is an experienced Crypto journalist with almost half a decade of experience covering everything related to the growing crypto industry — from price analysis to blockchain disruption. During this period, he’s authored more than 3,000 news articles for Coinpedia News.

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    Today’s Major US Economic Event Could Shake Crypto Markets

    Story Highlights
    • Crypto market lost nearly $170 billion overnight, raising fears of broader market volatility.

    • Strong U.S. GDP growth reduces chances of immediate rate cuts, surprising traders.

    • PCE inflation report today at 8:30 AM could trigger major market movements.

    • October historically favors crypto, but today’s economic signals may decide Q4 rally start.

    The crypto market has shocked everyone with a sudden dump, wiping out nearly $170 billion in value overnight. Amid this chaos, experts warn that the next 24 hours could reshape global markets. From Bitcoin to stocks, everything now depends on one key factor, fresh U.S. economic data and signals from the Federal Reserve. 

    The question is simple: will this spark the Q4 rally investors have been waiting for, or delay it yet again?

    Stronger GDP Data, Lower Rate Cuts Possibility

    The U.S. economy is running hotter than expected. Yesterday’s revised GDP numbers showed a 3.8% in Q2, above the 3.3% forecast. While strong growth looks good on the surface, it also means the Fed has less pressure to cut rates, and markets are desperate for those cuts.

    Despite this, the CME FedWatch tool data suggests that there is an 87.7% chance of a rate cut in October. Because liquidity pressure is building, and even the smallest sign of easing could flip the market mood instantly.

    PCE Data: The Real Game Changer 

    Today, the real turning point comes at 8:30 AM ET when the PCE inflation report is released. This is the Fed’s preferred inflation gauge, and it could set the tone for weeks ahead:

    • A softer reading below 2.7% could boost hopes of cuts and fuel a rally.
    • A higher reading may crush those hopes and trigger short-term panic.

    And it doesn’t stop there. Four key Fed officials, including Vice Chair Barr, are scheduled to speak today. Their words could move markets as much as the data itself.

    Major US economic Data to release today

    $23 Billion Option Expiry Today

    Meanwhile, crypto traders just faced a nearly $23 billion options expiry, with $17.7B in Bitcoin and almost $5.3B in Ethereum. These resets often create sudden price swings as leverage unwinds. 

    With Bitcoin hovering near its “max pain” zone of $110K, volatility could explode in either direction.

    Uptober or Uncertainty?

    All of this is unfolding just days before October, historically one of Bitcoin’s best months with an average jump of 21%. If inflation data comes in soft and Fed officials hint at easing, we could see the start of a strong Q4 rally. 

    If not, markets may remain stuck in choppy waters until November.

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