Crypto Prices Dip With Early Comments Ahead Of Jerome Powell Speech Today

The crypto currency market reacted bearishly to US Federal Reserve Chair Jerome Powell's speech today before the Senate committee. Powell's comments suggested that interest rates are likely to be higher than previously anticipated due to stronger economic data, potentially impacting the crypto market which is already reeling from the effects of the Silvergate crisis. Prior to Powell's testimony, the crypto market sentiment was flat as traders anticipated volatility following his comments. The markets rallied after Powell's speech in February 2023 hinted at the beginning of a disinflationary process, but he warned that the central bank's fight against inflation was not over yet. Traders were hoping for some respite from aggressive interest rate hikes in the second half of 2022, with hopes of a Fed pivot by the end of 2023. Cryptocurrency prices have been rising steadily since January 2023, before significant correction due to the Silvergate crisis.