Bitcoin prices have been remarkably bullish since last Friday. Usually, weekends – especially holiday weekends – are known for being volatile.

In those times, indecisiveness in price movements are common. Even during a bull market, a bearish price volatility is expected. That said, Bitcoin managed to kick those expectations to the curb. 

Between May 27 and May 30, BTC rallied close to 11%. It moved through its critical price of $28,600 to $30,000 and then, $31,700.

Last week’s close was the highest the cryptocurrency has reached in the past 20 days. It also has the best three-day run in the last two months.

Nevertheless, the current market conditions and a few macroeconomic concerns might weigh heavily on its turnabout.  

One of the primary – yet easily overlooked – factors contributing to the Bitcoin pricing potential is the global food supply.

Because of the pandemic, the majority of governments worldwide were forced to shut down their airports and seaports.

That caused an interruption in the flow of supplies. Such disruption will likely take years to return to normal. However, that is not the main cause of concern. 

Over the past 18 months, fertilizer costs have risen significantly in the United States. Last year, in early January, the FPI (Fertilizer Price Index) was $78.83.

Now, it’s at $254.97, which means it had an increase of approximately 225%. Because of the conflict between Russia and Ukraine, it’s likely that the fertilizer supply chain disruption and ongoing shortages will continue. 

Other commodity prices are still rising and are primarily contributing to the constant increase in inflation. In February 2022, wheat prices hit an all-time high and remained there.

So far this year, wheat futures have risen 76%. For the past 18 months, that percentage is a staggering 143%. 

Oil futures are currently trading at prices not seen since 2008. To make matters worse, investors are concerned that these prices may hike even further – close to $150 a barrel – once China puts an end to its covid lockdown.

That is because the country’s demand will return and unquestionably affect the price of oil. All of these factors have a direct impact on Bitcoin.

The stock market still isn’t in its best shape and global equity markets are still facing outstanding pressure.

Many factors, like rising commodity prices, increasing inflation and supply chain mishaps have put traders and risk-on investors on protective mode. That’s not good for Bitcoin prices.

Some important economic events are happening around the world later this week. They will most likely put any big price action in cryptocurrencies and equities on hold.

On June 1, the EU unemployment data has a scheduled release. Also on June 1, the Bank of Japan will also release its manufacturing data along with its interest rate decision.

On American soil, the non-farm payroll data and unemployment numbers will come out on the 3rd day of the month. 

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