Dogecoin Faces Price Decline Amid Market Reaction to Fed Chair Powell’s Inflation Remarks
The post Dogecoin Faces Price Decline Amid Market Reaction to Fed Chair Powell’s Inflation Remarks appeared on BitcoinEthereumNews.com.
Dogecoin (DOGE) experienced a significant drop of 12.4% following remarks from Fed Chair Jerome Powell, emphasizing increased inflation concerns. This sharp decline reflects a broader market downturn, particularly affecting speculative assets like meme coins, indicating heightened sensitivity to macroeconomic developments. A source from COINOTAG highlighted that Dogecoin’s trading volume surged by 67% to $10.25 billion as investors swiftly adjusted their positions amid market volatility. Dogecoin plunges 12.4% as Fed Chair Powell’s comments increase inflation fears, with trading volume soaring as holders reposition their assets. Market Response to Economic Outlook: Dogecoin Reacts to Powell’s Remarks In the wake of Chairman Powell’s remarks regarding inflation projections—which he stated have “fallen apart”—Dogecoin has taken a notable hit, reflecting broader market sentiments. As the cryptocurrency market grapples with inflation fears and the potential for prolonged higher interest rates, speculative assets, particularly meme coins like DOGE, exhibited acute sensitivity to these economic shifts. The price of Dogecoin fell to $0.31, a steep drop from its recent high of $0.47, showcasing a decline of over 35% in just a short time. Impact of the Federal Reserve’s Economic Forecast on Speculative Assets The Federal Reserve’s recent forecast has struck a chord across all risk assets, with higher-than-expected inflation and an outlook for unemployment rates rising by 2025 rattling investors. Such sentiments caused a ripple effect, leading to reduced confidence in volatile assets like Dogecoin. The spike in trading volume indicates that many investors are actively reassessing their positions in light of increased market tension. Data from CoinGlass suggests that the DOGE/USDT pair faced considerable pressure, particularly on platforms like Binance, highlighted by outflows exceeding $83 million. Broader Market Trends: Cryptocurrency Under Pressure The current climate is not exclusive to Dogecoin; rather, it reveals an overarching trend where numerous cryptocurrencies are struggling to maintain their value. Assets such…
