Corrected Bitcoin Ahead Of FOMC Release And Fed's Speech Jerome Powell

Illustration (photo: Freepic)

JAKARTA - The crypto market, especially Bitcoin, fell 3.2% to touch the price level of US$113,000 (Rp1.83 billion) ahead of the release of the July FOMC minutes meeting and the speech of Fed Chairman Jerome Powell on August 22.

Reku analyst Fahmi Almuttaqin assessed that market anxiety was mainly triggered by several factors indicating that the Fed's chance of cutting the interest rate in September could be delayed.

These factors include tariff pressures that have the potential to encourage a higher increase in inflation, which is supported by signals from corporations about charging tariff fees to consumers, as well as mixed economic signals between labor weakness and consumer demand that remain strong, Fahmi said in his explanation.

In addition, Fahmi added, the U.S. government's future economic policy uncertainty factor, with economic indicators that can be more volatile, is also a reason for investor concerns.

"Investors seem to be taking anticipatory steps against the Fed's potential negative signal that the increase in inflation is again considered worrying about the impact of the US tariff policy which is starting to have an impact," he said further.

However, Fahmi stated, despite pressure in terms of trade policy and uncertainty in the direction of monetary policy, history shows that bullish momentum often returns after Jackson Hole.

For investors, Fahmi suggests a strategy that can be done is to monitor market reactions after Powell's speech, defensive steps by maintaining exposure in strategic sectors and ready for pivots if a dovish signal appears.