#PowellRemarks
1. Hawkish Tone on Rates & Inflation
Powell emphasized that inflation pressures—especially from tariffs and geopolitics—are likely to rise in the coming months. He confirmed the Fed will remain cautious and wait for clear confirmation before any rate cuts .
This hawkish stance is expected to keep liquidity relatively tight, which tends to dampen risk assets, including crypto .
2. Reaction in Crypto Markets
Bitcoin dropped approximately 2%, from around $61,500 to $60,200, immediately after Powell’s remarks, while Ethereum slipped about **2.4%** .
Trading volumes surged, indicating active market seeking for reaction trades .
Crypto analysts highlighted that any continued tone of “higher-for-longer” in interest rates could sustain volatile conditions in digital assets .
3. Market Outlook from Experts
Some, like David Hernandez from 21Shares, noted that crypto may hold value in a stagflationary environment (high inflation + low growth) .
Others warn that unless Powell signals increased readiness to cut rates, cryptos could test lower support levels near key thresholds ($92–$100 K for BTC) .
