Main cryptocurrencies traded with blended outcomes on Sunday night, reacting to Federal Reserve Chair Jerome Powell’s speech. Powell emphasized the importance of sustaining strict monetary situations and indicated a possible future enhance in rates of interest.
In his opening remarks on the annual Jackson Gap Financial Coverage Symposium, Powell provided views on the financial outlook and financial coverage.
“We’re ready to lift charges additional if applicable,” Powell acknowledged, reflecting the Fed’s vigilant stance on getting again to its value stability purpose. He emphasised the dedication to maintain charges at a restrictive stage till a sustainable decline in inflation is noticed.
Presently, the worldwide crypto market capitalization stands at $1.05 trillion, a 0.17% lower within the final day.
Inventory futures began the final buying and selling week of August on a constructive observe, with a slight enhance. S&P 500 futures and Nasdaq-100 futures each noticed positive factors of 0.14% and 0.7% respectively. This comes after a profitable buying and selling session fueled by latest statements made by Federal Reserve Chair Powell.
Crypto analyst Michael Van De Poppe discusses the longest bear market in historical past for Bitcoin. He stated regardless of the present feeling of uncertainty and a doable finish to the bull cycle, it’s essential to contemplate historic patterns out there.
Bitcoin has traditionally gone by way of cycles that embrace intervals of growth, important corrections, accumulation, and renewed growth. Nevertheless, every cycle varies in size, as proven within the chart.
Comparatively, the present bear market is just like the one skilled in 2015. It entails a sideways motion and a gradual lack of religion in crypto, regardless of the strong elementary progress.
At current, Van de Poppe says the worth of Bitcoin is way from its peak valuation in November ’21, having decreased by over 50%. This bear market has been ongoing for 490 days.
“I understand how it feels. Most individuals who learn this have been experiencing their first heavy bear cycle and it hurts. It did the identical for me in 2018/2019, or the COVID-crash, or the present bear market.”
The longest bear market in historical past for #Bitcoin
It’d really feel like a ghost city in crypto. It’d really feel like there’s not even going to be a bull cycle anymore and I perceive why these ideas are there.
However why?
Properly, folks base their selections on historical past.
… pic.twitter.com/Ljtv9wmw12
— Michaël van de Poppe (@CryptoMichNL) August 27, 2023
Pseudonymous analyst DonAlt shared a cautious perspective concerning the potential approval of a Bitcoin ETF. He emphasizes that sellers might view this as a chance to dump their BTC holdings.
“We didn’t have the ETF denied, however we nonetheless went all the best way again to the place it was introduced. So both you’re getting the largest low cost right here of all time or we’re going to get shi*t information,” the analyst stated.
Alternatively, if the ETF is denied, DonAlt predicts that costs might plummet to round $20,000 – $19,000.
Produced in affiliation with Benzinga