Crypto Prices Surge Amid Positive Fed Signals
Bitcoin and Ethereum prices experienced meaningful growth after Federal Reserve chair Jerome Powell’s speech at Jackson Hole. This event marked a turning point, lifting Bitcoin above $115,000 and ethereum to $4,600.
The rally was triggered by Powell’s hints towards potential interest rate cuts in September. His statement, though vague, suggested that current conditions “may warrant” adjusting the Fed’s policy stance. Analysts saw this as a green light for crypto bulls.
The stock market joined the party, with the Dow Jones soaring over 850 points. Liquidations surged 85% to surpass $585 million, catching many short sellers off guard. The broader crypto market added 2.5%, exceeding $3.95 trillion in value.
- Inflation targeting framework may shift.
- September rate cut bets increased to 90%.
- Risk assets,including crypto,likely to rise further.
Powell’s speech is expected to open doors for crypto gains, as investors anticipate a more relaxed monetary policy.With these factors aligning, the positive sentiment should continue through September.
