Powell’s Speech & U.S. Economic Data: A Crypto Market Tipping Point?

Fed Chair Jerome Powell’s next remarks could send shockwaves through crypto markets—again. With Bitcoin clinging to key support levels and altcoins eyeing a breakout, traders are bracing for volatility.

Here’s what’s at stake:

The Inflation Factor: Fresh U.S. CPI data drops hours before Powell speaks. A hot print could slam risk assets, while cooler numbers might fuel a crypto rally. Either way, algo traders will feast.

Rate Cut Roulette: The market’s still pricing in 1-2 cuts this year despite the Fed’s ‘higher for longer’ mantra. Any dovish pivot would send liquidity flooding into BTC and ETH faster than a VC dumping meme coins.

Dollar Dominance: A surging DXY typically crushes crypto. But with BRICS nations quietly accumulating BTC, the old rules may not apply. Watch for correlation breakdowns.

Bonus cynicism: Wall Street will pretend to care about macro ‘fundamentals’ right up until their algo overrides kick in.