Bitcoin Price Declines: QCP Capital Highlights Pessimism in the Crypto Market

Bitcoin Price Declines Ahead of Powell’s Jackson Hole Speech

Despite U.S. equities trading mostly higher ahead of Federal Reserve Chair Jerome Powell‘s speech at the Jackson Hole symposium later this week, the price of bitcoin has been gradually declining over the last 24 hours. The price of bitcoin has decreased by over 2.18% in the last day, trading at about $58,610 at the time of writing. Even if U.S. equity markets rose following Monday’s opening bell, the decline continues.

In contrast to equities, crypto sentiment is strikingly bearish, with the bitcoin futures perpetual funding rates dropping to -13% over the weekend, the lowest since 2022,

QCP Capital analysts

Jackson Hole and Bitcoin: How a Potential Rate Cut Will Affect Prices?

Another analyst believes that there may be more volatility in the Bitcoin price due to the impending event in Jackson Hole.

As the market awaits further announcements from the Fed at the Jackson Hole Symposium, and the release of macroeconomic indicators, bitcoin volatility could rise over the coming days or week,

BRN analyst Valentin Fournier

Prior to the event, Fournier mentioned a rise in open interest in bitcoin futures. According to Fournier, broader financial markets are closely watching Powell’s speech at Jackson Hole on Friday in hopes of gaining some insight into what the central bank would conclude at its policy meeting the following month.

The increase in open interest could be linked to investors’ anticipation of potential profits if the announcement is positive.

Powell’s speech could see the Fed’s announcement of its first rate cut, and we maintain our view of a rally pushing prices toward $65,000 and $67,000 before an eventual new dip,

Fournier

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