{"id":25568,"date":"2025-05-07T11:46:46","date_gmt":"2025-05-07T11:46:46","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=25568"},"modified":"2025-05-07T11:46:46","modified_gmt":"2025-05-07T11:46:46","slug":"crypto-daybook-americas-powell-will-set-the-tone-while-markets-eye-asia-battles-trade","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=25568","title":{"rendered":"Crypto Daybook Americas: Powell Will Set the Tone While Markets Eye Asia Battles, Trade"},"content":{"rendered":"
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By Francisco Rodrigues (All times ET unless indicated otherwise)<\/p>\n

It’s Federal Open Market Committee day in the U.S., and while there’s little expectation of a change in interest rates, the market’s attention will be focused on Federal Reserve Chair Jerome Powell’s comments at the FOMC\u2019s press conference.<\/p>\n

The CME’s FedWatch<\/a> tool is pointing to a 97.6% chance of rates remaining unchanged and Polymarket traders<\/a> are weighing a 98.3% chance, so it’s the outlook that will take center stage.<\/p>\n

Spanish bank Bankinter said in a note that a potential rally attempt for risk assets would for now be \u201cnaive,\u201d pointing to indicators showing main U.S. ports are seeing a reduction in containers<\/a> from China, while Powell is \u201clikely to strike a chilly tone on both future cuts and the inflation cycle.\u201d<\/p>\n

\u201cWe are entering a phase of unclear direction, probably sideways but with a weakening bias that may last for several weeks,\u201d Bankinter analysts wrote.<\/p>\n

Adding to the cautionary tone is the military flare-up between India and Pakistan. India\u2019s \u201cOperation Sindoor<\/a>\u2019 kicked off during Asian hours with strikes in parts of Pakistan, which has vowed to retaliate.<\/p>\n

Still, spot gold retreated more than 1.7% as traders took an optimistic stance on a U.S.-China trade deal and cryptocurrency prices are rising after New Hampshire became the first state to allow the investment of public funds into crypto.<\/a> Bitcoin (BTC) has added 3% in the past 24 hours and the broader crypto market, as measured via the CoinDesk 20 (CD20<\/a>) index, rose 2.57%. That’s in contrast with equity markets, which fell Tuesday.<\/p>\n

It’s still too early to say whether markets will focus more on the need for safe havens as international belligerence ramps up, or on the desire to lock in a bit more volatility as trade tensions ease. One possible signal: The largest bitcoin ETF, BlackRock’s IBIT has attracted greater net inflows<\/a> than the largest gold ETF, SPDR Gold Trust (GLD), since the start of the year. <\/p>\n

Ethereum’s Pectra upgrade went live<\/a>, the network\u2019s biggest upgrade since 2022. The upgrade includes 11 major improvement proposals (EIPs), but whether it can reverse ETH\u2019s decline against BTC remains to be seen.<\/p>\n

Year-to-date, ether has lost around 47% of its value to the leading cryptocurrency, with the ETH\/BTC ratio now sitting at 0.019. Stay alert!<\/p>\n

What to Watch<\/strong><\/h2>\n