Bitcoin News Today: Nvidia Earnings and PCE Data Could Reshape AI and Crypto Markets

Nvidia's upcoming earnings report is expected to be a key event influencing the cryptocurrency and broader financial markets in the week ahead. With the stock price near record highs, market participants are closely watching the AI chipmaker's quarterly performance for insights into the sustainability of the recent rally. Analysts anticipate strong results, forecasting revenue to rise more than 50% year-over-year to $46.45 billion, with adjusted earnings per share expected at $1.02. However, the company has previously warned of potential losses related to export restrictions from China, which could dampen short-term performance [2]. Despite these challenges, Wall Street remains optimistic, with 12 out of 13 analysts surveyed by Visible Alpha recommending the stock as a "buy," with price targets ranging from $155 to $225 [2].

The economic calendar for the week will also be closely monitored, particularly the release of the Personal Consumption Expenditures (PCE) index, the Federal Reserve's preferred inflation gauge. Economists expect core PCE inflation to rise to 2.9% annually in July from 2.8% in June, marking the highest increase in several months [1]. This data point will test the Fed's patience with inflation and determine whether market expectations of a rate cut in September—currently priced at 85%—will remain intact [1]. The U.S. economy, which expanded at a 2% annualized rate in Q1 2025, faces ongoing headwinds from tariffs and shifting consumer behavior [3]. However, real GDP is expected to rebound in Q2, and a slowdown in the labor market could further justify a rate cut [3].

Bitcoin's market dynamics continue to evolve as on-chain activity wanes despite record price levels. Recent data from Galaxy Research indicates that Bitcoin's transaction fees have collapsed to decade lows, with median daily fees dropping over 80% since April 2024 [4]. This shift reflects a structural change in the market, as custodial inflows and ETF demand now dominate price-setting behavior, while on-chain activity—once a key indicator of bullish sentiment—has become less relevant [4]. The migration of retail activity to platforms like Solana has further weakened Bitcoin's on-chain demand, pushing miners to diversify into high-performance computing and AI hosting [4]. This trend is reflected in the performance of listed mining companies, with some reporting significant revenue from AI-related services [4].

Meanwhile, Asian high-net-worth investors are increasing their exposure to digital assets, driven by regulatory advancements and growing confidence in the asset class. Hong Kong's stablecoin legislation and the U.S. GENIUS Act have spurred demand, while Bitcoin's record highs have attracted new entrants [5]. Family offices and wealth managers report a surge in inquiries and fund subscriptions, with some aiming to allocate up to 5% of their portfolios to crypto. This shift reflects a broader acceptance of cryptocurrencies as a portfolio diversifier, particularly as investors seek alternatives to traditional assets amid macroeconomic uncertainties [5]. Exchanges in the region, including HashKey and South Korea's major platforms, have also experienced significant growth in user numbers and trading volumes [5].

Crypto markets are entering a phase of selective consolidation, with capital shifting toward assets showing resilience over speculation. The CoinDesk 20 index rose 3.5% as ether outperformed bitcoin, climbing 5.8% amid strategic rotation [6]. Analysts attribute this to macroeconomic factors such as the upcoming Jackson Hole symposium and U.S. inflation data, which are influencing institutional and retail positioning [6]. While Bitcoin remains a dominant asset, its demand appears to be cooling, with ETF inflows and on-chain activity showing signs of fatigue [6]. This "bullish cooldown" phase, as described by market analysts, suggests that the market is preparing for a more structured and selective recovery rather than a broad-based rally [6].

Source:

[1] title1 (https://finance.yahoo.com/news/nvidia-earnings-set-to-test-ai-trade-with-stocks-near-record-highs-what-to-watch-this-week-115512665.html)

[2] title2 (https://www.investopedia.com/what-wall-street-analysts-think-of-nvidia-stock-ahead-of-earnings-wednesday-11796072)

[3] title3 (https://www.veriswp.com/economic-market-update-q2-2025/)

[4] title5 (https://www.coindesk.com/markets/2025/08/25/asia-morning-briefing-bitcoin-s-etfs-kill-the-transaction-fees-punishing-the-miners-more)

[5] title6 (https://www.reuters.com/world/china/asias-wealthy-investors-seek-more-crypto-portfolios-2025-08-21/)

[6] title7 (https://www.coindesk.com/markets/2025/08/21/asia-morning-briefing-btc-demand-cools-while-crypto-capital-is-getting-more-selective-okx-s-gracie-lin-warns)