Bitcoin, Ether Slide Amid $270M Crypto Liquidations Ahead Jackson Hole

Cryptocurrency markets have experienced significant volatility ahead of Federal Reserve Chair Jerome Powell's scheduled speech at the Jackson Hole symposium, with Bitcoin dipping below $113,000 and Ether falling over 4%. This downturn has triggered widespread liquidations, particularly among long positions, totaling around $270 million, reflecting investor uncertainty amid fading expectations for a September Fed rate cut. Analysts highlight key Bitcoin support levels between $110,000 and $114,000 as critical zones for potential buying opportunities, while a failure to hold above these could lead to further declines, possibly testing the $100,000 support line. Market sentiment is cautious as Powell's speech may signal a hawkish stance, especially considering mixed inflation data and persistent price pressures, raising fears of stagflation. Despite this, some analysts suggest that if Powell indicates an end to quantitative tightening or signals regulatory changes, liquidity could improve and potentially reignite Bitcoin's rally toward year-end. Overall, traders are recalibrating risk in anticipation of Powell's remarks, with a reduced likelihood of an aggressive rate cut and expectations for moderate market turbulence in the near term.