Crypto is fixated on Jackson Hole this week.
Federal Reserve Chair Jerome Powell is expected to signal whether September will bring the first rate cut of the year. If he hints at a cut, that is seen as a boon for Bitcoin, Ethereum and altcoins.
Powell’s speech on Friday “could potentially shape the outlook for the rest of 2025,” Illia Otychenko, lead analyst at CEX.IO, the crypto exchange, told DL News. “If he signals that rate cuts are back in September with more to follow, markets will likely rally across the board.”
Jackson Hole, the Fed’s annual retreat in Wyoming, is one of the most closely watched events on the central bank calendar. Powell used the forum last year to telegraph a shift toward easing.
For crypto, the gathering carries outsized weight. Digital assets are highly sensitive to liquidity conditions, and Fed policy largely determines how much capital is available.
The event comes as the crypto market trembles just below the $4 trillion mark.