Jackson Hole Event Casts a Shadow on Digital Assets: A Crypto Market Update

As reported by Omkar Godbole, the crypto market is experiencing a cautious tone ahead of Federal Reserve Chairman Jerome Powell's speech at the Jackson Hole Symposium, with bitcoin and ether experiencing significant declines. Bitcoin has dropped below its 50-day simple moving average, falling from a record high of $124,000 to below $115,000, while ether has fallen to $4,220, with on-chain data indicating a risk of substantial liquidations at $4,170. QCP Capital noted that over $400 million in long positions were liquidated overnight, extending the previous week's 5% pullback amid over $1 billion of DeFi liquidations and profit-taking. The funding rates have turned negative, and risk reversals favor puts, suggesting cautious positioning ahead of the Jackson Hole event. Notably, ether's losses follow a record validator exit queue, with over $3.5 billion worth of tokens looking to exit. Meanwhile, BlackRock's ether ETF saw a record trading volume and inflows, with Mena Theodorou, co-founder of Coinstash, stating that the infrastructure around crypto is solidifying in real-time. The broader market has seen the bitcoin-to-altcoin liquidations ratio reach its lowest point since early 2024, indicating increased speculative activity in altcoins relative to bitcoin. Other notable market movements include the Monero attacker Qubic's community voting to target the Dogecoin network, resulting in a 4% drop in DOGE, and traditional markets seeing gold rise, European stocks drop, and U.S. stock index futures remaining muted.