Bitcoin Plummets $3K Before Jerome Powell’s Speech Today

The cryptocurrency market is undergoing a correction this Monday, with bitcoin experiencing another drop of approximately $1,000 in the last hour, now standing at just above $63,000.

This decline precedes a speech by the US Fed Chair, Jerome Powell, scheduled to take place in Nashville, Tennessee, where he is anticipated to discuss the central bank’s shift in monetary policy.

CryptoPotato previously reported on BTC’s initial price drop that saw the asset fall from over $66,000 to $64,200. The situation has deteriorated further, with the price falling to $63,250 – marking a four-day low – before making a slight recovery to $63,500.

The notable difference is that several altcoins have also experienced similar downturns. Among the largest decliners over the past 24 hours are Shiba Inu (-6.3%) and Dogecoin (-5%).

As a result, the total value of liquidated positions has surged to $190 million in the last day, according to data from CoinGlass. Approximately 70,000 over-leveraged traders have faced losses during the same period.

This volatility appears to stem from the uncertainty surrounding Powell’s impending speech. Reuters reported that he is expected to elaborate on the Fed’s recent monetary policy shift, which included a 0.5% rate cut—the first in over four years.

Analysts expect Powell to suggest the possibility of further rate cuts in the forthcoming FOMC meetings in 2024 and potentially in 2025, with another rate decrease anticipated on November 6-7 by either 0.25% or 0.5%.