This week saw a dip in the prices of several altcoins, driven by concerns over U.S. economic data. According to S&P Global Market Intelligence, many cryptocurrencies experienced notable declines as of Friday, with some taking a bigger hit than others.

Crypto Slumps: STX, IMX, and KAS Among the altcoins facing a tough week were Stacks (STX), Immutable (IMX), and Kaspa (KAS), all suffering around a 13% drop. This decline was largely linked to worries over macroeconomic conditions in the U.S., where investors grew cautious amidst ongoing concerns about inflation and future interest rate cuts.

Inflation Not as Tame as Hoped On Thursday, the Bureau of Labor Statistics revealed that inflation in the U.S. rose by 2.4% year over year in September and 0.2% month over month. While these figures suggest inflation is cooling, they were slightly higher than the 2.3% annual rise and 0.1% monthly increase some economists had forecasted.

For many in the crypto world, these slight misses in expectations were enough to drain enthusiasm for riskier assets like cryptocurrencies. When inflation isn’t tamed as expected, investors tend to pull back on riskier investments, contributing to the altcoin selloff.

Interest Rate Worries There’s also concern that the Federal Reserve may not cut interest rates again soon, despite a 50-basis-point cut last month. Higher interest rates make safe investments like bonds more attractive, pulling attention away from cryptocurrencies.

Uniswap Bucks the Trend However, not all cryptos struggled. Uniswap (UNI) surged by nearly 17% this week after the announcement of its new Layer-2 blockchain, Unichain. Developed by Uniswap Labs, Unichain is designed as a fast, decentralized superchain aimed at powering DeFi (Decentralized Finance) and liquidity across multiple chains. This exciting development could significantly boost Uniswap’s value and has already sparked a wave of optimism among investors.

The Road Ahead While some altcoins faced a tough week, exciting new developments, like Unichain, show that innovation can still push cryptocurrencies forward, even in a shaky economic environment. The future of crypto remains as dynamic as ever, with potential opportunities for those willing to keep an eye on key developments in the space.