Market jitters as Bitcoin dips further and Trump fires Fed governor
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📉 Bitcoin dips - Market cap leader slid below $110,000 for the first time in six weeks, driven by whale selling and liquidations.
🤔 Fear and Greed Index sits at 43 - just above “Fear” territory, signaling investor caution.
⚖️ Drama at the Fed - Trump’s firing of Fed Governor Lisa Cook raises fresh concerns over central bank independence.
Cryptocurrency prices continue to slide, with Bitcoin dipping below $110,000 for the first time in six weeks. Some market watchers noted that a major Bitcoin holder, often called a whale, sold more than $2 billion worth of BTC last week, triggering forced sales from traders who had bet the price would keep rising. The Fear and Greed Index is hovering at 43, just above “Fear” territory, reflecting the current market uncertainty.
Adding to the jitters, President Trump yesterday fired Federal Reserve Governor Lisa Cook over allegations of mortgage fraud. The President has repeatedly criticised the Fed for not cutting rates sooner, and some see this as a further attack on the central bank’s independence. Reuters quoted Tony Sycamore, market analyst at IG in Sydney: "Trump's removal of Cook, following his relentless pressure on Fed Chair Jerome Powell that saw the Fed Chair buckle last week, reignites questions around the Fed's independence and further undermines its ability to maintain impartial monetary policy free from political influence."
Stocks are marginally in the red, though analysts say the reaction has been relatively muted. Investors are now looking ahead to fresh economic data, with US unemployment figures due on 5 September. In his Jackson Hole speech at the end of August, Fed Chair Jerome Powell cited rising joblessness as one of the key reasons rate cuts could resume later this year. The upcoming release will give markets a clearer sense of whether US labour market pressures are persisting.
In the markets…
🌍 Total crypto market cap ↘️
The global crypto market cap is approximately $3.87 trillion, down 2.49% over the past 24 hours.
🟠 Bitcoin (BTC) ↘️
Price: $110,354 down 0.98% in the last 24 h.
Daily high: $112,815
Daily low: $109,214
📈 S&P 500 ↘️
SPY is currently down about 0.43% since yesterday’s close.
📈 Nasdaq 100 ↘️
The Nasdaq 100 is down about 0.31% overnight.
😐 Fear & Greed Index
The Crypto Fear & Greed Index stands at 43/100, in Neutral.
📊 Bitcoin Relative Strength Index (RSI) (14)
The 14-day RSI for BTC is approximately 42, sitting bordering on being overbought.
Data is correct as at 26 August, 07:57 GMT.
Cautionary Notes
It's definitely tempting to get swept up in the excitement, but please heed these words of caution: Do your own research, only invest what you can afford, and make good decisions. The indicators contained in this article will hopefully help in this. Remember though, the content of this article is for information purposes only and is not investment advice or any form of recommendation or invitation. The Digital Commonwealth always advises you to obtain your own independent financial advice before investing or trading in cryptocurrency.
