Fed Chair Jerome Powell in his latest speech hinted that the U.S. Federal Reserve may soon start cutting interest rates, saying the economy is showing signs of cooling while inflation keeps easing.
💬 “The balance of risks may now warrant adjusting our policy stance,” — Powell said at the Jackson Hole meeting.
📈 Market Impact:
Investors took it as a signal that rate cuts are coming soon, which usually boosts risk assets like Bitcoin & crypto.
Within minutes of his speech, BTC futures volume surged and open interest jumped sharply.
💡 Why it matters: Lower interest rates = cheaper liquidity → more money flowing into risk assets → historically positive for crypto markets. 🎯 If the Fed confirms a rate cut next meeting, crypto could see another strong leg up.