Federal Reserve Chairman Powell is about to give a speech at the Jackson Hole annual meeting, and the cryptocurrency market is holding its breath in anticipation. This speech is seen as an important indicator of the future direction of monetary policy and may have a significant impact on digital assets such as Bitcoin and Ether.

Wall Street investors have begun to position themselves early, with some even betting tens of millions of dollars on a significant rate cut that may occur in September. This high-risk, high-reward strategy reflects the market's sensitivity to changes in Federal Reserve policy.

Analysts generally believe that if Powell's remarks lean towards easing, it may stimulate funds to flow into high-risk assets, and markets, including encryption currencies, may see an increase. Conversely, if the remarks lean towards a tough stance, continuing to emphasize the determination to combat inflation, it may lead to pressure on risk assets, making it difficult for the encryption currency market to stand alone.

It is worth noting that some seasoned investors have begun to adopt defensive strategies, increasing neutral positions to cope with potential market fluctuations. This cautious attitude indicates that even experienced traders find it difficult to accurately predict the impact that Powell's speech may bring.

For ordinary investors, experts advise maintaining rationality and not blindly chasing after price increases or selling off. It is wise to reasonably control the scale of investments and ensure the safety of funds. Regardless of how the market fluctuates on Friday, staying calm and having a long-term perspective are key to dealing with market uncertainties.

As Powell's speech time approaches, the volatility of the cryptocurrency market may increase. Investors need to closely monitor developments while managing risks to cope with various possible market scenarios.