As investors in the financial markets keenly await Jerome Powell‘s remarks before the US Senate House committee hearing on semiannual monetary policy taking place on June 21 and 22, 2023, the global crypto market cap currently sits at $1.08 trillion, marking a 1.03% increase in just the past 24 hours. Precipitated by cooling inflation and the recent pause in the US Fed’s rate hike decisions, the upcoming Powell speech has the potential to usher in a new cycle of a crypto market rally. However, traders must remain cautious and consider the recent warning from Fed officials about potential rate hikes later in 2023.
In anticipation of Jerome Powell‘s testimony, Binance has announced a Bitcoin wallet migration, resulting in on-chain transfers. The Federal Reserve Chair’s testimony before the US House Financial Services Committee could influence market sentiment, especially if his comments reveal any new insights into the central bank’s projections for future interest rate decisions.
A central topic of the upcoming testimony will likely be the Fed’s efforts to promote maximum employment and maintain stable prices. In light of recent regulatory actions against crypto exchanges, Jerome Powell may be asked to share his views on the current state of crypto regulation. In a previous hearing before the Senate Banking Committee in March 2023, he cautioned banks against reckless dealings with crypto companies. However, on a more optimistic note, Powell did mention that the Fed has no intentions of stifling innovation in the digital assets industry.
Furthermore, questions may arise surrounding the Federal Reserve’s imminent launch of FedNow, an instant payment service aimed at assisting financial institutions. These responses could hold significant implications for the crypto market, potentially impacting the performance of cryptocurrencies such as XRP, even if Ripple, its parent company, loses the ongoing lawsuit against the SEC.
It is crucial to mention that the presented content may encompass the personal opinions of the author and should be considered in light of market conditions. Before investing in cryptocurrencies, it is essential to conduct thorough market research. Neither the author nor the publication holds any responsibility for personal financial loss incurred due to investments in the crypto market.
Source: Coingape
