One sentence from Wosch: 96,000 people liquidated—Bitcoin plunged back to $77,000 overnight
Last night, the whole world waited for a man to speak. Federal Reserve Chair Wosch—his first appearance at Jackson Hole—ended up dropping a nuclear bomb instead: “Inflation is still too high.” “Financial conditions are not tight.” “We still have work to do.”
In plain human terms: Not only will they not cut rates—he wants to raise them.
The market immediately pissed itself.
The probability of a rate hike in September jumped from 35% before the speech to 60% overnight—doubling. Bitcoin, which was above $80,000, got straight dumped, hitting a low of $76,909—down more than 3.4% in 24 hours.
Gold tanked on Wall Street too, but the crypto market was the worst-hit:
In 24 hours, $487 million was liquidated, and 96,800 people were kicked out of their positions. And most of the casualties were longs—$360 million came from long positions; longs in Bitcoin alone contributed $141 million.
The biggest liquidation: on Binance, a $11.66 million Ethereum long position instantly went to zero. Spot Bitcoin ETFs also couldn’t hold up—net outflows of $202 million in a day, ending the nine-day streak of inflows.
What’s most ironic?
Just last week, Bitcoin had posted a weekly gain of 22%—the strongest in three years—climbing all the way from $64,000 to $80,000. How hyped was the market?
The Fear & Greed Index hit 73, with “GREED” plastered all over the screen. Then Wosch’s speech buried every last long into a pit.
But don’t cry too fast—the story has a twist. As of now, Bitcoin is still up 26% since August, the best August since 2017. Ethereum ETFs aren’t falling—they’re rising: net inflows of $102 million in a day, and they’ve been positive for 10 straight days. And Wosch himself has also admitted in his own words that Bitcoin is an important asset that can help keep monetary policy in check.
So is this drop the first shovel of the gold pit—or the first spade of the rate-hike cycle? $BTC
Last night, the whole world waited for a man to speak. Federal Reserve Chair Wosch—his first appearance at Jackson Hole—ended up dropping a nuclear bomb instead: “Inflation is still too high.” “Financial conditions are not tight.” “We still have work to do.”
In plain human terms: Not only will they not cut rates—he wants to raise them.
The market immediately pissed itself.
The probability of a rate hike in September jumped from 35% before the speech to 60% overnight—doubling. Bitcoin, which was above $80,000, got straight dumped, hitting a low of $76,909—down more than 3.4% in 24 hours.
Gold tanked on Wall Street too, but the crypto market was the worst-hit:
In 24 hours, $487 million was liquidated, and 96,800 people were kicked out of their positions. And most of the casualties were longs—$360 million came from long positions; longs in Bitcoin alone contributed $141 million.
The biggest liquidation: on Binance, a $11.66 million Ethereum long position instantly went to zero. Spot Bitcoin ETFs also couldn’t hold up—net outflows of $202 million in a day, ending the nine-day streak of inflows.
What’s most ironic?
Just last week, Bitcoin had posted a weekly gain of 22%—the strongest in three years—climbing all the way from $64,000 to $80,000. How hyped was the market?
The Fear & Greed Index hit 73, with “GREED” plastered all over the screen. Then Wosch’s speech buried every last long into a pit.
But don’t cry too fast—the story has a twist. As of now, Bitcoin is still up 26% since August, the best August since 2017. Ethereum ETFs aren’t falling—they’re rising: net inflows of $102 million in a day, and they’ve been positive for 10 straight days. And Wosch himself has also admitted in his own words that Bitcoin is an important asset that can help keep monetary policy in check.
So is this drop the first shovel of the gold pit—or the first spade of the rate-hike cycle? $BTC
