- FED Chairman Jerome Powell has begun his speech at the Dutch Foreign Bankers Association panel.
- The first data of the critical week for Bitcoin and altcoins has been announced.
- Despite the PPI data coming above expectations on a monthly basis, it came in line with expectations on an annual basis.
Explore the impact of FED Chairman Jerome Powell’s recent speech and the released PPI data on the volatile crypto market.
Powell’s Speech and Its Implications
FED Chairman Jerome Powell began his speech at the Dutch Foreign Bankers Association panel following the release of the PPI data. Despite the data coming above expectations on a monthly basis, it came in line with expectations on an annual basis. Powell’s speech was highly anticipated by the crypto market, with many speculating on its potential impact on Bitcoin and altcoin prices.
Bitcoin’s Reaction to the Developments
Following the data release, Bitcoin’s price experienced a momentary drop, but the price was not significantly affected. However, during Powell’s speech, Bitcoin’s price dropped from $61,790 to $61,300. These fluctuations highlight the sensitivity of the crypto market to macroeconomic developments and statements from influential figures like Powell.
Key Points from Powell’s Speech
Powell expressed confidence in the performance of the U.S. economy, stating that it remained resilient despite a strong labor market. He signaled that the FED would continue to analyze economic data for the next quarter and combat inflation to reach a 2% target, implying no possibility of a rate hike. Powell also mentioned that restrictive policies might take longer than expected to lower inflation but expressed his belief in reaching the inflation target.
Conclusion
The recent developments highlight the interconnectedness of the crypto market with broader economic trends and statements from key figures. As the market continues to mature, such events and their subsequent impacts are likely to become more common. Investors should remain aware of these dynamics when making investment decisions.
