$BTC $ETH
Powell's speech this week becomes the market focus,
interest in interest rate cuts and recession risks!
When cryptocurrency meets macroeconomics, the winds change rapidly!
GSR cryptocurrency market maker research analyst Carlos Guzman revealed: market participants have entered a "watchful mode," their eyes firmly locked on Federal Reserve Chairman Powell's speech this week, eager to discern the Fed's attitude towards potential recession.
Remember when the announcement of tariff policy was delayed, concerns about large-scale economic contraction swept in, and the market even expected four interest rate cuts within the year. Last week, Trump announced a 90-day suspension of most tariffs, which somewhat cooled recession expectations, and the anticipation of rate cuts diminished as well. But! Guzman pointed out that compared to before the policy announcement, the market still expects more rate cuts now.
He also stated: if the global economic situation continues to deteriorate, the Federal Reserve is highly likely to introduce more stimulus policies. Although in the short term, cryptocurrencies are affected by recent volatility, limiting the effectiveness of stimulus policies, in the medium term, this is undoubtedly a significant boon.
How will Powell ultimately express himself? Where will the expectations for interest rate cuts and the risks of global economic recession head? What changes will the cryptocurrency market face? Let us wait and see!
