rewrite this title The Daily Breakdown: Nvidia, Then Fed in Focus

The Daily Breakdown takes a closer look at the week ahead, including: Bitcoin’s battle with $74K, Nvidia’s GTC event, and the Fed.

Before we dive in, let’s make sure you’re set to receive The Daily Breakdown each morning. To keep getting our daily insights, all you need to do is log in to your eToro account.

What’s Happening?

Nvidia’s GTC event kicks off today. It’s the company’s flagship AI and accelerated-computing conference, where Nvidia typically unveil new chips, software, and product roadmaps. It matters because those announcements often shape expectations for the broader AI industry — and can move sentiment around Nvidia and the companies building on its infrastructure. CEO Jensen Huang’s keynote is at 2 p.m. ET today. 

All Eyes on the Fed

Last week’s wave of economic data leaves this week’s calendar relatively light, but the upcoming Fed meeting will be the main focus. Markets are not expecting a rate cut on Wednesday, though the committee’s economic projections will be closely watched as growth slows, the labor market stalls, and PCE inflation remains elevated — all before the recent spike in oil prices. 

Crypto Corner

Bitcoin has rallied for seven straight sessions as the broader crypto market shows signs of life. Total crypto market cap has climbed back above $2.5 trillion for the first time since early February, while the market cap excluding Bitcoin has reclaimed the $1 trillion mark.

This morning’s leaders include Ethereum, Shiba, Sonic, and Polkadot.

Want to receive these insights straight to your inbox?

Sign up here

The Setup — Bitcoin

As Bitcoin extends its current rally, traders are keeping a close eye on the $74,000 level.

$74,000 has been a key resistance level since Bitcoin’s sharp breakdown in February. If BTC can reclaim it and hold above it, that could open the door to a larger rally — potentially toward the prior support zone near $85,000. If not, bearish momentum could build again and send prices lower.

Options

For investors who can’t trade or aren’t comfortable trading cryptocurrencies outright, they can consider ETFs for BTC and ETH. On the BTC front, IBIT remains the largest ETF by assets, while also supporting options trading. 

Bulls can utilize calls or call spreads to speculate on upside, while bears can use puts or puts spread to speculate on downside. In either case, investors may consider using adequate time until expiration. 

For those looking to learn more about options, consider visiting the eToro Academy.

What Wall Street’s Watching

MU

Shares of Micron are rallying this morning, currently up more than 4%. That’s on top of Friday’s 5.1% gain and comes ahead of the firm’s earnings report on Wednesday after the close. Shares climbed more than 15% last week and are up almost 50% so far on the year as MU sits near record highs. Check out the chart for MU. 

META

Shares of Meta are up roughly 3% in pre-market trading, almost erasing Friday’s decline. The rally comes on reports that Meta is considering cutting 20% or more of its workforce as it pours money into AI and looks to offset costs through expected productivity gains. If it follows through, the layoffs would mark its largest cuts since the 2022-2023 “year of efficiency,” when it eliminated about 21,000 jobs. Dig into the fundamentals for META. 

USO

Oil prices are again in focus this morning, as crude oil inches higher. After climbing four out of five days last week — and jumping more than 10% overall — the USO ETF is down slightly this morning. That’s giving a bit of a relief rally to US stocks, with S&P 500 ETFs like SPY and VOO higher by almost 1%. Follow the news on USO.

Disclaimer:

Please note that due to market volatility, some of the prices may have already been reached and scenarios played out.