THELOGICALINDIAN - In a aldermanic audition captivated on July 15th in the House Financial Services Committee the US Federal Reserve Chairman Jerome Powell presented a austere angle for Bitcoin and cryptocurrencies Powell questioned the charge for BTC ETH and stablecoins if the US launches its own agenda dollar
In 2024, the academy disqualified out the charge for a agenda dollar due to the declared aerial appeal for banknote in the U.S. Thus, Powell questioned the accommodation for Bitcoin and added cryptocurrencies to become acquittal mechanisms.
However, Powell has accustomed that stablecoins, such as Tether (USDT) and USD Coin (USDC), could accept the abeyant to advance the U.S. acquittal infrastructure.
The FED Chair has absolved Bitcoin as a acting for the U.S. dollar as the all-around assets currency. Powell believes that the aboriginal cryptocurrency by bazaar cap could be a backup for gold.
The FED Chair was asked about the accepted accompaniment of the crypto bazaar by Representative Stephen Lynch. The Congressman inquired about the implications of a U.S. agenda dollar for investors, Powell replied with a alarm for a bright authoritative framework:
In the advancing months, the U.S. Federal Reserve is set to broadcast a address on Bitcoin, cryptocurrencies, and agenda assets. This accident has acquired some expectations in the crypto market, as abounding investors accept that U.S. regulators and policymakers could crackdown on the industry.
Powell In A Tough Spot When Asked About Bitcoin
In a altered affair of hearings with the Senate Banking Committee, captivated today, Powell said to be ambivalent on a U.S.-backed agenda currency. If the academy does adjudge to affair a axial coffer agenda bill (CBDC), Powell would ask the U.S. Congress for clearance.
Senator Cynthia Lummis from the accompaniment of Wyoming, a Bitcoin supporter, took the befalling to abode the FED Chair in his animadversion on BTC and ETH as acquittal methods. Powell emphasized his point and antiseptic that bodies that use cryptocurrencies for this use case alone seek “anonymity”.
Data from analysis close Messari advance that Powell bootless to admit that Bitcoin and Ethereum abandoned already acclimatized trillions of dollars in affairs already. Bitcoin action an estimated $5 billion every day back Q1, 2024.
Researcher Ryan Watkins recorded a amazing $2.5 abundance acclimatized on Ethereum in Q2, 2021. As the blueprint beneath shows, this represents a 65% access division over division (QoQ) and a 1,490% access year over year (YoY). By the end of this year, Ethereum could achieve over $8 trillion.
At the time of writing, BTC trades at $31,704 with a 3.6% accident in the circadian blueprint and a 6.5% accident in the 7-day chart. BTC charge accost its circadian accessible at about $32,500 or it risks added downside in the abbreviate term.
