Crypto Soars: Bitcoin Surges Past Ethereum, Sparked by Powell’s Market-Boosting Speech!

Fed Chair Powell’s Speech Drives Crypto Surge

The cryptocurrency market soared after Federal Reserve Chair Jerome Powell’s remarks at the Jackson hole meeting. Bitcoin climbed past $115,000,and Ethereum surged over 8%,reaching $4,600.

Powell’s speech hinted at possible interest rate cuts in September, sending thrill through markets.Both Bitcoin and Ethereum had been facing downward pressure earlier in the week. After his address, Bitcoin leapt by nearly 3%, hovering around $116,000. Ethereum followed suit, seeing an 8% increase.

Equities celebrated as well, with the Dow Jones Industrial Average gaining over 850 points. The entire global crypto market rose by 2.5%, crossing $3.95 trillion. The sudden boost in prices led to numerous liquidations—a jump of 85% to $585 million—trapping some short-sellers off-guard.

Powell’s talk didn’t explicitly confirm a September rate cut but strongly suggested it might be necessary. He stated that “current conditions may warrant” reducing interest rates.

“The baseline outlook and shifting risk balance may necessitate policy adjustments,” Powell explained, further boosting investor confidence.

• CME FedWatch now predicts a 90% chance of a September rate cut.
• Powell also signaled a shift in the fed’s approach, moving away from strict 2% inflation targeting.

Consequently, many anticipate continued growth in both crypto and conventional risk assets.