Powell Sparks Bitcoin Rally: Bitcoin Nears $116,000, Ethereum Soars Above $4,600 in Historic Surge Cryptocurrency markets exploded with sharp gains Friday evening following Federal Reserve Chairman Jerome Powell's speech at the Jackson Hole Symposium. Bitcoin surged to trade near $116,000, while Ethereum breached $4,600, gaining more than 8%.
This surge was fueled by Powell's hints at a possible interest rate cut in September, which raised bets to 90%, according to the CME FedWatch tool.
The gains were reflected in the cryptocurrency market capitalization, which rose more than 2.5% to exceed $3.95 trillion, while short positions surged 85% to exceed $585 million after the sudden surge overwhelmed short positions.
Powell's remarks, in which he hinted that "current conditions may warrant a rate cut," along with his reference to greater flexibility in inflation targeting, whetted investor appetite for riskier assets, with cryptocurrencies leading a historic rally. $BTC
