Global cryptocurrency investment funds logged $858 million in net inflows during the latest reporting week, marking six consecutive weeks of positive capital flows and reinforcing a structural shift toward institutional adoption of digital assets. Bitcoin-based products dominated inflows during the period.
But crypto markets may be heading into a turbulent week, caught between escalating US-Iran tensions, the US-China Beijing meeting, Donald Trump's renewed tariff push, and a series of high-impact US economic releases.
Trump-Xi Meeting on 14-15 May
The Trump-Xi summit on May 14-15 is a key event for US-China relations, but Iran is expected to dominate the agenda. Treasury Secretary Scott Bessent confirmed Iran will be a major topic in Beijing. That leaves little room for trade issues like tariffs and rare earth supplies. China recently hosted Iran's foreign minister — the first such visit since the war started in late February — signaling Beijing may seek a mediator role. Markets are watching closely, as the outcome could move global trade and financial markets.
Tehran Refuses Trump's "Unreasonable demands"
The most immediate wildcard is the standoff between the US and Iran. Trump issued a 48-hour ultimatum over the weekend, demanding Iran reopen the Strait of Hormuz following US-Israeli strikes that disrupted global oil flows. The deadline sent US stock futures lower at Monday's open and pushed crypto into retreat.
Adding to the pressure, Trump imposed a 15% global tariff after the Supreme Court struck down his broader tariff package on Friday. The move has rekindled inflation fears and weighed on risk assets across the board.
G7 nations are reportedly considering releasing 400 million barrels from strategic oil reserves, which briefly pressured oil prices but did little to ease broader market anxiety.
A Packed US Economic Calendar
Macro data will compete for attention throughout the week. Key releases and events include:
- Tuesday: February/March Consumer Confidence, S&P Global Services PMI, JOLTS Job Openings
- Wednesday: Nvidia earnings, US Crude Oil Inventories
- Thursday: Initial Jobless Claims
- Friday: PPI Inflation, PCE data, Michigan Consumer Sentiment, Q1 GDP
Wednesday's Nvidia earnings report carries weight beyond equity markets.
As a bellwether for AI infrastructure demand, a disappointing result could ripple into AI-linked crypto tokens, while a strong beat may provide a lift to risk appetite more broadly.