FOMC Minutes, Jerome Powell Speech: Will Bitcoin Recover or Retrace Further?

Bitcoin and altcoins falter ahead of the FOMC Minutes release and Jerome Powell speech due this week. Traders await these key macroeconomic events for cues to support a further rally. While the US government shutdown continues, Bitcoin recovery hinges on the dovish FOMC meeting minutes and FED Chair Jerome Powell as inflation concerns rise amid “debasement trade.”

Bitcoin Traders Await FOMC Minutes, Jerome Powell Speech

The FOMC Meeting Minutes release is due today, along with speeches by several Fed officials on October 8. Also, FED Chair Jerome Powell is to speak on Thursday about the monetary policy, rising inflation amid a weak labor market, and economic concerns fueled by the US government shutdown.

The heavy macro week caused the 10-year US Treasury yield to hold around 4.13% after slipping in the previous sessions. Also, the U.S. Dollar Index (DXY) is moving towards 99 today, hitting a 2-month high after recent declines that fueled market recovery. This led to Bitcoin and crypto market crash today.

Meanwhile, gold prices continue to climb higher as investors migrate to safe havens amid economic concerns due to the prolonged US government shutdown. Investors pouring money into US dollar alternatives such as gold, silver, and Bitcoin is known as “debasement trade.”

The pause in macro data reports supports continued Fed rate cuts. However, slightly hawkish cues in FOMC Minutes and Jerome Powell’s speech could further spoil sentiment in the markets.

💥BREAKING:

Federal Reserve Chair Jerome Powell is still scheduled to speak this Thursday, despite the ongoing government shutdown.

Expect Volatility! pic.twitter.com/yTUXXKwP8d

— Crypto Rover (@rovercrc) October 8, 2025

Crypto Analysts Weigh on Crypto Market Rally

Bitcoin dropped to a low of $120,681 after clinching a new ATH of $126,200. At press time, BTC is trading at $122,495, down over 2% in the last 24 hours. However, analysts remain upbeat on further upside after the FOMC Minutes release and FED Chair Jerome Powell’s speech.

Popular analyst Michael van de Poppe said profit-taking is always anticipated after a new all-time high. The slight pullback has provided another opportunity for dip buying.

CrediBULL Crypto asserted that Bitcoin trend remained overall bullish, saying “every leg higher now gets closer and closer to a parabolic move and blow off top.” BTC price will lead and altcoins stall amid a lack of momentum to lift the entire altcoin complex.

Analyst Ted Pillows pointed out sharp rejection from the $125,000 level. BTC could reverse here due to massive support. However, a break below $120,000 support zone could trigger a drop to $117,000-$118,000.