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Crypto Market Recovers After Jerome Powell's Speech, ETH Nears All-Time High

After Jerome Powell's speech, the crypto market rebounds, with Ethereum nearing its all-time high.

Following the speech by Federal Reserve Chairman Jerome Powell, the cryptocurrency market has seen a resurgence, with Ethereum (ETH) particularly standing out, nearing its all-time high. Although Bitcoin (BTC) experienced a slight dip due to the Fed's hawkish stance, the overall sentiment in the market remains optimistic, especially with new policies being introduced and signs of increased capital inflow.

Key Points

  • BTC slightly drops after the Jackson Hole meeting
  • ETH projected for substantial growth by JP Morgan
  • 27% of decentralized assets (DATs) are trading below their market net asset value (mNAV)
  • CFTC launches 'Crypto Sprint Initiative' to boost industry development
  • Institutional investors in China and Japan are increasing crypto allocations

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In-Depth Analysis

Powell's speech may have caused Bitcoin to lose some ground, but Ethereum's performance has captured market attention. JP Morgan analysts anticipate that Ethereum has immense growth potential in the future, possibly hitting $20,000 in this bull cycle. This expectation not only fuels investor enthusiasm but also provides substantial support for ETH's price surge.

Meanwhile, the CFTC's 'Crypto Sprint Initiative' aims to provide a clearer regulatory framework for the crypto industry, promoting healthy market development. The introduction of this policy could attract more institutional investors, further driving market growth.

Additionally, the fact that 27% of DATs are trading below their market net asset value signifies that there are still many opportunities waiting to be discovered. For investors, identifying these potential projects will be an important strategy.

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Market Impact

As the global crypto market matures, more institutional investors are increasing their allocations to crypto assets. According to UBS, Chinese family offices have allocated 5% of their assets to cryptocurrencies, and Japan's SBI is actively expanding into tokenized stock trading. These dynamics will further stimulate market activity and boost prices.

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Conclusion

The rebound in the crypto market following Powell's speech reflects investor confidence, particularly in Ethereum's potential, which is widely recognized. With regulatory policies gradually clarifying and institutional participation growing, the future market outlook appears promising.