Over the past 24 hours, the global cryptocurrency market cap plummeted 1.28%, with the top two cryptocurrencies Bitcoin and Ethereum down 0.75% and 2.67%, respectively.
However, to understand further crypto market moves, today’s Fed Chair Jerome Powell will have a big role to play.
Jerome Powell will deliver the Jackson Hole speech that will play a major role in drafting the central bank’s 2022 economic agenda. Jackson Hole will host the Fed’s annual meeting, and Powell’s speech will be broadcast live at 10:00 a.m. ET or 7:30 a.m. ET.
In June, the Federal Reserve raised interest rates by 75 basis points, and the global cryptocurrency market fell sharply as a result.
Market participants take
This speech is important because the central Banks are the ones who control the inflation rate and the meeting will set the agenda of the bank.
On the other hand, cryptocurrency analyst Michael Vander Pope also believes that Powell’s speech will affect Bitcoin to a large extent. Given that, Blue Line Future’s chief market strategist Phil Streible believes the speech will pull stocks lower, and the speech will determine the direction of the entire market.
So if Powell agrees with the other members and strongly opposes inflation, the market will react negatively. However, some believe that the presentation will give traders and investors a clear picture of market sentiment as this will know the moment for Bitcoin.
Bitcoin price action has been stuck between $21,000 and $22,000 for a while, so the meeting could push or pull the currency down further,
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Elena is an expert in technical analysis and risk management of the cryptocurrency market. She has 10+ years of writing experience – as such, she is an avid journalist with a passion for researching new insights into the crypto age .