Powell's Comments Boost Bitcoin Amid Market Volatility

Federal Reserve Chair Jerome Powell has confirmed that US banks are allowed to serve cryptocurrency clients, provided they implement proper risk management practices. This clarification has led to a positive reaction in the crypto market, with Bitcoin experiencing a notable price rebound. Powell's comments also highlighted the necessity of further regulatory frameworks for cryptocurrencies, a sentiment echoed by other financial regulators. Bitcoin's value fluctuates with tech market trends, as indicated by its recent decline linked to the tech-driven Nasdaq sell-off. Meanwhile, stablecoin liquidity on Ethereum and Solana has surged, suggesting increased investor activity and potential trading opportunities. Despite market volatility, analysts remain optimistic about Bitcoin's long-term prospects, predicting substantial price growth by 2025.