What did Federal Reserve Chair Jerome Powell say in his speech that caused the crypto market to surge?

Powell hinted at a possible cut in interest rates in September, which led to a rally in Bitcoin and Ethereum prices.

How much in crypto short positions were liquidated due to the market rally?

Over $206 million in crypto short positions were liquidated within the last hour as the market surged.

What is the potential impact on the crypto market if the Fed does indeed cut interest rates in September?

Experts anticipate a "massive rally" in the crypto market if the Fed cuts rates next month, as investors expect increased liquidity and investment in the sector.

Home / Business and Economy / Crypto Surge Follows Fed Chair's Hints at Rate Cut

Crypto Surge Follows Fed Chair's Hints at Rate Cut

22 Aug

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Summary

Bitcoin and Ethereum rally after Powell's speech
Short positions worth $206 million liquidated in an hour
Potential Fed rate cut in September could trigger "massive rally"

Crypto Surge Follows Fed Chair's Hints at Rate Cut

On August 23rd, 2025, the cryptocurrency market experienced a significant rally following a speech by Federal Reserve Chair Jerome Powell at the Jackson Hole symposium in Wyoming.

During his speech on August 22nd, Powell hinted at the possibility of a cut in interest rates in September, though he did not make any definitive promises. This news sparked a surge in the prices of major cryptocurrencies, with Bitcoin skyrocketing above $116,000, a gain of over 2% in just one hour. Ethereum also rose more than 5% in an hour, surpassing the $4,600 price mark.

The rally led to the liquidation of over $206 million in crypto short positions, with Ethereum accounting for more than $125 million in short positions being wiped out. Bitcoin saw $38 million in short positions getting liquidated as well. Other cryptocurrencies, such as Solana, XRP, and Dogecoin, also experienced significant price increases and short position liquidations.

Analysts believe that if the Federal Reserve does indeed cut interest rates in September, it could trigger a "massive rally" in the crypto market, as investors anticipate increased liquidity and investment in the sector.

Disclaimer: This story has been auto-aggregated and auto-summarised by a computer program. This story has not been edited or created by the Feedzop team.