Bitcoin Volatility Spikes After Warsh Downplays Inflation Progress

Bitcoin's price fluctuated widely on Wall Street after U.S. Federal Reserve official Kevin Warsh delivered a keynote speech at the Jackson Hole Symposium.

Warsh tempered expectations around inflation progress, saying that lower PCE and CPI prints do not represent 'meaningfully improved' underlying inflation trends.

The Fed's 2% target remains in place, but the cautious tone on inflation appears to have unsettled crypto traders, with Bitcoin briefly trading near $78,442 before recovering towards the $79,500 area.

Market observers are now focused on whether Bitcoin's derivatives complex can sustain price levels near $83,000 as August trading closes and liquidity conditions tighten.