Odaily Planet Daily report: After Federal Reserve Chair Powell signaled a hawkish stance at the Jackson Hole symposium, Bitcoin surged then retraced, falling to $76,877 on Friday—a pullback from its overnight high of $81,455—and ultimately closing at $77,557, down 3.39% for the day. Bitcoin had earlier posted double-digit gains this week, but the resistance zone between $81,000 and $82,500 once again capped upward momentum. Powell stated that the pace of U.S. inflation decline remains insufficient and that more work is needed before achieving the 2% inflation target, prompting markets to raise expectations for a September rate hike. CME FedWatch data shows the probability of a September rate hike rose from 35.4% the previous day to 55.7%. Over the past 24 hours, approximately $481 million in total liquidations occurred across the market, with long positions accounting for over $360 million. Predictive market data indicates traders currently assign a 77% probability to Bitcoin reaching the key target of $84,000 and a 23% probability of it dropping to $55,000—Friday’s pullback has not altered these odds. U.S. spot Bitcoin ETFs have recorded eight consecutive trading days of net inflows through Wednesday, totaling approximately $2.8 billion—the longest continuous inflow period since April. Bitcoin’s RSI is around 69.7, still below the severely overbought levels previously associated with pullbacks. Should prices decline further, the region between $73,670 and $75,157 will serve as a key support level for bulls; a reclamation above $81,000–$82,500 could open the door to new all-time highs. With Powell weakening forward guidance, markets lack a clear policy path ahead of the next FOMC meeting, leaving Bitcoin vulnerable to volatility driven by inflation data and shifting interest rate expectations.
Bitcoin Drops to $77,557 Amid Fed’s Hawkish Signal and $481 Million in 24-Hour Liquidations
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Summary
Bitcoin dropped to $77,557 following remarks from Fed Chair Powell at the Jackson Hole symposium, signaling a hawkish stance. The price retreated from a high of $81,455, again failing to break through the $81,000–82,500 resistance zone. Over $481 million was liquidated within 24 hours, with long positions accounting for more than $360 million. CME FedWatch now indicates a 55.7% probability of a September rate hike. Prediction markets assign a 77% chance of Bitcoin reaching $84,000 and a 23% chance of declining to $55,000. U.S. spot Bitcoin ETFs added $2.8 billion over eight consecutive days—the longest streak since April. Traders are advised to monitor altcoins as risk sentiment shifts.
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