The cryptocurrency market held steady following Federal Reserve Chair Jerome Powell’s latest policy remarks, which signaled a data-dependent approach with no preset course for further rate cuts. The total market capitalization remained near $2.7 trillion, reflecting continued investor caution amid persistent inflation above the Fed’s target.
Federal Reserve Chair Jerome Powell indicated monetary policy is now closer to neutral after the Federal Open Market Committee held interest rates at 3.50%–3.75%. Powell said the central bank views its current stance as appropriate following 75 basis-point rate cuts over its previous three meetings.
He emphasized that future decisions would depend on incoming data, the economic outlook, and the balance of risks. “Monetary policy is not on a preset course,” Powell reiterated, offering no guidance on the timing of additional cuts.
The total cryptocurrency market capitalization excluding stablecoins showed little change, hovering near $2.7 trillion in the hours following the press conference. The aggregate market remains below its 20-day and 50-day moving averages, reflecting a broader consolidation phase since late November.
Trading volume across the market also remained subdued, reinforcing the view that Powell’s comments did not materially alter near-term liquidity expectations. Despite intermittent rebounds, total market capitalization has struggled to regain levels above $2.9 trillion.
Powell acknowledged that inflation pressures, partly driven by tariffs, continue to weigh on the outlook even as services disinflation progresses. He noted that a recent federal government shutdown likely weighed on growth last quarter, though those effects are expected to reverse.
For crypto markets, the absence of a dovish surprise kept conditions largely unchanged. Investors appear to be waiting for stronger confirmation that inflation is on a sustained path toward the Fed’s 2% target before increasing risk exposure.
