Breaking: BTC/USD jumps above $11,500 on Fed's Powell comments

Breaking: BTC/USD jumps above $11,500 on FED's Powell comments

The first digital currency shot to $11,600 in a matter of minutes as Federal Reserve Chairman Jerome Powell delivered his annual monetary policy speech during the 'Virtual' Jackson Hole symposium this morning. He announced a major policy shift, which implies that the central bank will be ready to tolerate periods of higher inflation. Basically, it means that the rates will be kept low for longer even if the prices start to increase.

The cryptocurrency community seems to have waited for the signal from Powell to start buying Bitcoin. BTC is often regarded as an anti-inflation instrument and a safe-haven during turmoils accompanied by growing prices and fiat currencies devaluations. 

At the time of writing, BTC/USD is changing hands at $11,490, down from the intraday high of $11,592. If the price manages to settle above $11,500 by the end of the day, the upside momentum may gain traction with the next focus on $11,800 and $12,000. However, a failure to maintain the bullish momentum will push the price back inside the recent rabe with the local support at $11,300.

BTC/USD 30-min chart