Key Occurrences That Might Alter Crypto Sentiment This Week: Powell’s Address Tomorrow Leaves Everyone Anxious
With Wall Street’s increasing anticipation for imminent rate reductions, Federal Reserve Chair Jerome Powell is set to speak on Tuesday, 22 September 2025. Therefore, the digital currency crypto market is preparing for potential swings and has ample justification for doing so.
In addition to Powell’s address, a host of significant US economic reports will be released throughout the week. On Wednesday, 23 September 2025, data on home sales will be unveiled. Then, on Thursday, 24 September 2025, we’ll see existing home sales figures provide insight into the robustness of America’s housing sector, alongside the most recent durable goods orders report. Historically, the performance of these reports has impacted the flow of investments into digital currencies.
However, Thursday will mark the pivotal moment, as the revised Q2 GDP numbers will determine whether the US economy has truly recovered or if it is still grappling with ‘stagflation’ challenges.
On Friday, the Core PCE Index for August will be released, known as the Fed’s favored measure of inflation. Additionally, 24 September 2025 will see the preliminary Michigan Consumer Sentiment Index published. Will this week prove to be the turning point for Bitcoin, Ethereum, and other virtual digital assets?
REMINDER:
FED CHAIR POWELL WILL GIVE A SPEECH NEXT TUESDAY.
EXPECT PRICE SWINGS! pic.twitter.com/UYuBEe3a4W
— Crypto Rover (@rovercrc) September 21, 2025
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Powell’s Address & Market Mood
Tomorrow, analysts will scrutinize Powell’s statements for insights related to upcoming October and December rate meetings. Furthermore, it’s evident that the global crypto asset crypto market is preparing for a turbulent week. After staying above the $4.1 trillion range for the majority of the weekend, digital assets experienced a rapid decline today, resulting in a rekt of over $75 billion within just a few hours.
Twitter users are debating whether the volatility represents a risk or a hidden opportunity. X user ‘Crypto Ex-Insider’ remarked, “Powell speeches often have a greater impact on markets than the data itself. A single word change in tone can alter the value of trillions.”
Meanwhile, Bitcoin has dropped to $112,749—its lowest point in the past ten days. An analysis shared by investor Merlijn indicates that Bitcoin’s long-term chart continues to reflect its historical cycle behaviors.
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Per the analysis, each significant bull market since 2017 has experienced a mid-cycle “trap”—a rapid correction that expels weaker investors prior to the market’s resurgence.
In 2017, Bitcoin shot up swiftly, followed by a sharp drop that undermined confidence, but then surged to unprecedented levels a few months later. A similar scenario unfolded in 2021, with prices stagnating around $60,000 before skyrocketing.
The current chart from Merlijn suggests 2025 may follow the same trend.
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Key Takeaways
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Macroeconomic factors—historically the domain of Wall Street and central banks—now significantly influence digital asset valuations, trading behaviors, and crypto holder sentiment.
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“Monetary policy is transitioning into a new phase,” remarked The Kobeissi Letter, highlighting the historical connections between interest rate reductions, stagflation, and the widening wealth gap.
The post Major Events That Could Flip Crypto Sentiment This Week: Powell’s Speech Tomorrow Keeps Everyone On Edge appeared first on 99Bitcoins.
