🧠 Intro:
Today’s crypto markets faced pressure as speculation over the next U.S. Federal Reserve Chair rattled sentiment across risk assets. Major cryptocurrencies including Bitcoin and Ethereum eased lower as traders reacted to macro positioning.
📰 What Happened:
Bitcoin dropped roughly 2.5% to around $82,300 on January 30, 2026 — marking its longest losing streak in eight years — after rising chatter that Kevin Warsh could replace Jerome Powell as Fed Chair. Known for favoring tighter monetary policy, Warsh’s potential appointment stirred forecasts of reduced liquidity, which typically weighs on speculative assets like cryptocurrencies. Ether also fell about 2.9% to a two-month low of $2,735.48 as broader markets pulled back alongside a slump in tech stocks.
📘 Why It Matters:
Crypto prices are influenced not only by internal network events but also by global financial conditions. When the Fed is expected to tighten policy, liquidity across markets can shrink — meaning less capital for riskier assets like crypto. That’s why macroeconomic news (like leadership changes at central banks) often correlates with sharp crypto movements even when fundamentals remain unchanged.
🔑 Key Takeaways:
Bitcoin and Ether fell on January 30, responding to macro news.
Speculation on Fed leadership can influence crypto liquidity conditions.
This trend reflects market sentiment rather than fundamental shifts in blockchain tech.