Cutting into Above-Trend Inflation and Solid Growth = Buy Crypto
Aug 22, 2025
Discussed in today’s video:
- Dovish Powell: Jackson Hole remarks highlighted shifting risks toward employment, downplayed tariff-driven inflation, and suggested restrictive policy may soon warrant adjustment, paving the way for a September cut.
- Market Repricing: September cut odds jumped to ~84%, the DXY fell below 98, small caps outperformed, and risk assets broadly rallied.
- ETH Breakout: ETH surged to new all-time highs and decisively broke its long ETHBTC downtrend.
- Broader Crypto Strength: SOL posted strong gains while AERO (Base’s leading DEX) rallied over 20%, supported by solid fundamentals and thematic tailwinds.
- Macro Backdrop: The Fed is positioned to cut into slowing (but solid) growth, solid unemployment, with above-trend inflation. This is a macro mix that favors liquidity-sensitive assets, particularly crypto.
Tickers in this video: BTC -1.35% ETH -1.87% SOL -0.33% AERO 0.56% DEX 2.03% DXY