At 10 PM tonight, Federal Reserve Chairman Powell will deliver an important speech at the highly anticipated Jackson Hole Global Central Bank Annual Conference. According to market analysis, his speech may present three different scenarios, each of which could have a significant impact on the encryption market.

The first scenario leans towards a more accommodative stance. If Powell's speech suggests a more dovish monetary policy, the market may heat up expectations for a rate cut in September. In this case, Bitcoin could potentially break through the key resistance level of $120,000, while Ethereum may also break the $4,000 mark. Other encryption currencies are also expected to follow suit with a rally alongside the mainstream coins.

The second scenario leans towards a tightening stance. If Powell's remarks are interpreted as more hawkish, market expectations for interest rate cuts may cool. In this case, Bitcoin may retrace to the support level near $100,000, while Ethereum may test the $3,000 level. Investors may shift funds into stablecoins or dollar assets to hedge against risk.

The third scenario is a neutral stance. If Powell's speech fails to clearly indicate a policy bias, the market may maintain a volatile pattern. In this case, investors need to closely monitor the subsequent employment data and inflation indicators for more clues.

Regardless of the final outcome, Powell's speech will undoubtedly become an important factor influencing the short-term trends of the cryptocurrency market. Investors should remain vigilant and adjust their investment strategies in a timely manner based on actual conditions. At the same time, it is essential to be aware of the high volatility of the cryptocurrency market and not to overly rely on a single event to make investment decisions.