Trump calls for Fed Governor Cook’s resignation over mortgage probe
Investing.com-- Bitcoin extended declines to hit a two-week low on Wednesday, as investors reduced positions ahead of the Federal Reserve’s Jackson Hole symposium, and assessed geopolitical risks with potential Russia-Ukraine talks ahead.
The world’s largest cryptocurrency last traded 1.1% lower at $113,728.5 as of 02:03 ET (06:03 GMT).
It was just shy of reaching a six-week trough as it declined to as low as $112,668 earlier in the session.
The token had climbed to a record above $124,000 last week but pulled back sharply after hot U.S. data tempered bets for an outsized Fed rate cut next month.
Investors eye Jackson Hole meet, potential Russia-Ukraine talks
Markets are bracing for the Federal Reserve’s annual symposium in Jackson Hole, where Chair Jerome Powell will speak on Friday.
A decisively hawkish tone from Jackson Hole, or guidance that challenges bets on a September rate cut, could further pressure risk assets such as Bitcoin.
Traders have softened expectations for a larger cut in September, with futures now pricing in a 25-basis-point reduction.
Geopolitics added another headwind. U.S. President Donald Trump hosted Ukrainian President Volodymyr Zelenskiy and European leaders on Monday to discuss future peace efforts.
He said he was arranging direct talks with both Moscow and Kyiv and hinted at a possible trilateral summit.
While any credible pathway to negotiations is broadly supportive of global risk sentiment over the long term, the near-term uncertainty weighed on cryptocurrencies.
Fed’s Bowman backs central bank staff owning small crypto stakes
Federal Reserve Vice Chair for Supervision Michelle Bowman said on Tuesday that central bank staff should be allowed to own small, “de minimis” amounts of cryptocurrencies and digital assets.
She argued the change would give regulators hands-on experience and improve their capacity to oversee emerging financial technologies.
Bowman emphasized that while risks are inherent, they should be balanced against potential benefits and not dismissed out of caution.
Her remarks reflect a more engaged regulatory posture toward crypto under the current administration.
Crypto price today: altcoins drop; Cardano tumbles 8%
Most altcoins also extended losses on Wednesday, tracking Bitcoin moves.
World no.2 crypto Ether fell 1.7% to $4,162.54.
World no. 3 crypto XRP dropped 4.1% to $2.89.
Solana was largely unchanged, while Cardano slumped 8%, and Polygon slipped 6%.
Among meme tokens, Dogecoin lost 2%, while $TRUMP retreated 2.8%.