Cryptocurrencies and related stocks expanded losses on Tuesday as entrepreneurs pay for the release of the FED’s release of FOMC minutes on Wednesday and feed the chairman Jerome Powell’s Jackson Hole Speeal on Friday.
Bitcoin dropped 3.2% in the past 24 hours to slip below $ 114,000, while Ether fell 5.3% under $ 4,200. XRP dropped by 6.2%, Cardano’s ADA slipped by 8%and the broadly crypto market dropped by 3.2%. Sharing companies related to crypto, such as Bitcoin miners, crypto exchange and digital asset companies have suffered even greater losses, including Mara, Coin and MSTR closing a regular session today dropping 5.72%, 5.82%and 7.43%, respectively.
In contrast, in general, US equality is less suffering: the Dow ended flat, the S&P 500 fell 0.59%, and Nasdaq slipped 1.46%. The difference is emphasizing how digital possessions, which are highly dependent on cheap liquidity, are more exposed to changes in expected rates than traditional stocks.
Today investors face a pivotal calendar. On August 20 and 2pm, the Fed will release minutes from the FOMC meeting held on July 29-30, which offers an insight into tariff and inflation debates. From August 21–23, the middle bankers gather for the Jackson Hole Symposium, with the set of Powell keynote for August 22 at 10am. Together, Powell’s minutes and speech can specify market expectations for the September policy meeting.
The delay of tariffs
Many companies absorb tariff costs to protect market sharing, but analysts warn that they cannot do so forever. When passed to consumers, these costs can drive prices higher and force the Fed to wait before cutting.
Adhesive inflation data
Despite some cooling, inflation gauges remain elevated. The manufacturer’s price index, a major wholesaler, has become warmer than forecasting, suggesting ongoing pressure complicated any cases for aggressive emergence.
Corporate limits
US executives have signed that they will eventually be forced to move tariff costs. If that happens, consumer inflation may accelerate in the coming months, making a September cutting seems early.
Hello -with economic signals
The US economy shows both slowing of work growth and elastic consumer demand. This uneven picture may encourage Powell to argue for patience until the Fed has more clear evidence that growth can withstand tariff -driven costs.
Uncertainty of policy
Tariffs integrate fiscal and trade policies in an unpredictable way. That complexity increases the risk of misconceptions, making a hawkish tone more likely to Jackson Hole.
Lessons from history
The 2018–2019 tariff shocks have made a delay but significant inflation, which motivates the caution. Powell may draw that previous one to justify the restraint at this time.
Indicators looking forward
The upcoming release of fresh economic data, including the release of Thursday of August’s preliminary data on manufacturing and service manufacturing activity, may show a tariff-related building-related building. Powell may teach them as another reason for gentleness.
Internal division
Minutes from the July FOMC meeting can reveal a split inside the fed. For inflation -focused Hawks and pigeons emphasizing jobs, Powell may emphasize the need for consensus, which often favors the wait.
For crypto, the stakes are clear. Higher for-longer rates prevent liquidity that emits imaginary rallies, raising financing costs for miners and weighing exchange activity. If Powell is kept, the sale-off to the tokens and equality associated with crypto can be deepened. A strong surprise, however, can offer a spark for a rebound.
