Bitcoin price pops and Ethereum jumps 7% as Powell speech buoys crypto markets
Cryptocurrencies reacted sharply to Federal Reserve chair Jerome Powell’s speech at Jackson Hole, with Bitcoin jumping above $115,000 and Ethereum surging more than 8% to above $4,600.
- Bitcoin rose from $113k to near $116k as cryptocurrencies reacted to Fed chair Jerome Powell’s speech.
- Ethereum price also jumped, rising more than 8% to above $4,600.
- Powell has hinted at the Fed cutting rates in September.
After a week of downside action, Bitcoin ( BTC ) and Ethereum ( ETH ) led the cryptocurrency market in a sharp rally on Friday, with the broader market rallying as Fed chair Jerome Powell hinted at potential interest rate cuts in September.
With the Dow Jones Industrial Average jumping more than 850 points, Bitcoin spiked nearly 3% to trade near $116,000, while Ethereum rose more than 8% to break above $4,600.
What did Powell say?
As investors cheered Powell’s speech at Jackson Hole, the global crypto market gained 2.5% to over $3.95 trillion. The gains also triggered a surge in liquidations, which climbed 85% to over $585 million as the sudden price spike caught shorts off guard.
Powell’s speech at the central bank’s annual symposium in Wyoming was a highly anticipated event. While the Fed chair did not explicitly state that a rate cut is coming in September, his remarks provided a strong hint.
In particular, Powell said current conditions ‘may warrant’ the central bank’s move to cut interest rates.
“With policy in restrictive territory, the baseline outlook and the shifting balance of risks may warrant adjusting our policy stance,” Powell added.
The remarks now see investors increase bets on a rate cut in September, with the CME FedWatch tool now reading 90%.
Powell also signaled that the Fed wants to move away from its framework requiring it to target inflation strictly at 2%. With these details in place, crypto and other risk assets are likely to continue higher.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Cardano Foundation unveils zero-knowledge series as ADA drops 2.8% to $0.1725
How much CPO demand will Nvidia Rubin Ultra generate? Bernstein: Optical value per Pod will increase fivefold
Bernstein believes that the co-packaged optics (CPO) and fiber demand driven by Nvidia's Rubin Ultra architecture will surge significantly, with the optical content per Pod rising from $1 million to $5.4 million. This will propel the size of Nvidia's optical ecosystem market to $46.8 billion by 2028 (a 91% annual increase). Although the industry faces supply bottlenecks with InP substrates, the outlook remains positive. The institution reiterates its “outperform” rating for Lumentum, Coherent, and Ciena.
UBS Q3 implements a two-way strategy with gold options, heavily invests in technology stocks, and builds positions in SK Hynix (SKHY.US)
UBS Group (UBS.US) has submitted its Q3 holdings report (13F) as of September 30, 2026.
SpaceX (SPCX.US) reportedly attempts “de-Nvidiaization” at the rack level: developing Kessel cabinets to bypass L6 compute boards, purchasing only chips
SemiAnalysis: SpaceX has developed its own Kessel cabinet, bypassing Nvidia's L6 cards to provide more options for manufacturing its own hardware.
Crypto prices
More
