What to Know
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Market Overview
Bitcoin and Ether have made a slight rebound from their lows on Tuesday, even as the CoinDesk 20 and CoinDesk 80 indexes reflect a broader market downturn. Only a few coins among the top 100 have recorded gains—specifically, OKB and LINK, both exceeding 3%.
The focus remains on Fed Chair Jerome Powell’s upcoming speech at the Jackson Hole Symposium. Singapore-based QCP Capital noted that recent sell-offs indicate fragile short-term positions, and further market volatility could arise depending on Powell’s comments or unexpected labor and inflation data.
The current downturn in Bitcoin has been linked to profit-taking among short-term holders, particularly wallets that have held BTC for less than 155 days, a trend observed before significant sell-offs. Additionally, both spot Bitcoin and Ether ETFs recorded nearly $1 billion in total outflows on Tuesday.
Nicolai Sondergaard, a research analyst at Nansen, expressed that while the market anticipates interest rate cuts, the potential for a sideways or slightly bearish action exists unless Powell hints at deeper or faster-than-expected rate reductions.
