Crypto 29.08.2026: BTC $77,800, -3.8%

Global Crypto Market on 29th August: Bitcoin Falls Below $78,000 After Fed Chair Warsh's Jackson Hole Speech

On Saturday, 29th August, the global cryptocurrency market was in a pronounced risk-off mode after the new US Federal Reserve (Fed) Chair, Kevin Warsh, adopted a hawkish stance in his inaugural Jackson Hole Symposium speech on Friday, 28th August. According to coingabbar data from 29th August, Bitcoin traded around $77,803 (approx. -3.8% in 24 hours), Ethereum around $2,443 (approx. -3.1%), and the total market capitalisation decreased by approx. 2.9% to approx. $2.72 trillion. The Rio Times' 29th August summary recorded similar levels (Bitcoin $77,838, -3.01%) and noted that altcoins fell more sharply than the leading asset. The direct cause of the movement was Warsh's statement that inflation "has not yet been defeated," which, according to CME data, increased the probability of a September rate hike to approx. 57% from approx. 35% on Friday. This article is a compilation of facts and an analysis of causes, not investment advice.

Market Overview

The review period began with a strong Friday morning and ended with a broad correction. According to CoinDesk data from 28th August, Bitcoin traded close to $80,000 in the first half of the day after an almost 2% increase in 24 hours, with an overnight rise to approx. $81,280 and an approx. 9% weekly gain. Yahoo Finance's 28th August summary described this level as the highest since 15th May 2026 – Bitcoin's opening price was stated as approx. $80,261.86, but by 7:00 AM US Eastern Time, it had retreated to approx. $79,560. After Warsh's speech on Friday evening, the price changed rapidly: according to coingabbar data, Bitcoin traded around $77,803 on Saturday with an approx. 3.8% drop in 24 hours, with trading volume reaching approx. $20.07 billion.

Ethereum followed a similar trajectory but fell slightly less than Bitcoin. According to CoinDesk data, ETH had risen just over 1% to approx. $2,492 on Friday, but according to coingabbar's 29th August summary, it traded around $2,443 on Saturday (approx. -3.1%), with a trading volume of approx. $14.53 billion and a market capitalisation of approx. $294.9 billion. The Rio Times recorded a similar level ($2,443, -2.70%), confirming the consistency between both sources.

In the altcoin segment, the correction was deeper than in the leading assets, which is a typical sign of risk reduction. According to The Rio Times data from 29th August, Solana traded around $104.13 (approx. -4.65%), and XRP around $1.3833 (approx. -4.80%). This movement contrasts with the beginning of Friday, when, according to CoinDesk's summary, Solana had "surpassed $100" with an approx. 4% daily and approx. 20% weekly gain, briefly leading the major assets upwards. Overall, by the end of the day, according to coingabbar data, the total market turnover was approx. $97.6 billion, the decentralised finance (DeFi) segment decreased by approx. 3.8% to approx. $73.5 billion, while the stablecoin market remained virtually unchanged (approx. +0.2% to approx. $290.5 billion) – indicating a shift of capital to the liquidity "safe haven" during the correction.

What Influenced the Market

The dominant driver of the review period was macroeconomic policy, specifically Fed Chair Kevin Warsh's first appearance at the annual Jackson Hole Symposium on Friday, 28th August. According to The Rio Times' summary, Warsh stated that the Fed's 2% inflation target is a "firm, unwavering goal" and pointed to approx. 3.7% Personal Consumption Expenditures (PCE) inflation over the past year, which, in his assessment, is still too high. The market interpreted this rhetoric as a signal of a potential rate hike: according to the same source, CME futures increased the implied probability of a September rate hike to approx. 57% from approx. 35%, and the two-year US Treasury yield rose by approx. 0.14 percentage points to approx. 4.34%. Higher yields and tighter monetary policy generally reduce the attractiveness of risk assets, including cryptocurrencies.

Structural reinforcement was provided by the forced closure of leveraged positions. According to a cryptopotato report, approx. $200 million in long (betting on price increases) positions were liquidated within an hour immediately after Warsh's speech, with Bitcoin's price falling from approx. $79,500 to lower levels. The Rio Times' 29th August summary mentioned a broader picture – approx. $488 million in cryptocurrency position liquidations on Friday, affecting almost 98,000 traders. This dynamic is contrary to the events of the previous week, when the market rally was driven precisely by short position liquidations; this time, long positions suffered predominantly, which amplified the downward movement.

On the institutional flows side, the review period marked a significant turning point. According to The Rio Times data, a nine-trading-session streak of inflows into spot cryptocurrency exchange-traded funds (ETFs), which collectively attracted approx. $3 billion, ended with outflows on Friday. Yahoo Finance's ETF summary dated this streak to 17th August and indicated that on 27th August, Bitcoin ETFs still attracted approx. $242.3 million, and Ethereum ETFs approx. $235 million – both for the ninth consecutive session. The interruption of the streak coincided with a shift in macroeconomic sentiment and is one of the key observable signals for the resilience of institutional demand in the coming days.

Exchange and Industry Events

On 28th and 29th August, public sources did not confirm new large-scale exchange incidents or regulatory actions against specific platforms; the industry story of the review period was primarily macroeconomically driven. As a dated structural event, the expansion of the cryptocurrency ETF product range stands out: according to Yahoo Finance data from 27th August, inflows were recorded not only in Bitcoin and Ethereum but also in Solana ETF (approx. $60.91 million) and Hyperliquid ETF (approx. $24.42 million) segments, indicating a continued diversification of institutional products.

In the regulatory background, the influence of US policy continued to be evident during the review period. According to Yahoo Finance's 28th August summary, market attention was drawn to news about President Donald Trump's directive to mortgage agencies Fannie Mae and Freddie Mac regarding the use of cryptocurrencies as mortgage collateral. In a broader context, mid-August events – the SEC's proposed regulation (19th August) and political support for the so-called CLARITY Act – remain relevant, but they date back to the previous week and are mentioned here only as a continuing background, not as news for the review day.

Security Incidents

On Saturday, 29th August, and Friday, 28th August, public sources did not confirm new, clearly dated large-scale security incidents. In the industry security background, more recent, precisely dated events include the 18th August Maya Protocol (MAYAChain) attack, in which, according to shattered.io data, approx. 48.87 million CACAO tokens were removed (direct losses approx. $1.7 million, CACAO price drop approx. 88.7%), as well as the early August Coinkite Coldcard hardware wallet exploit, the scale of which, according to TRM Labs data, is estimated at approx. $116 million. We mention these incidents only as background, as they are not directly attributable to the 28th-29th August review period; their impact is primarily manifested as a continuing issue of trust in the security of decentralised protocols and self-custody solutions, respectively.

Context and Outlook

The correction during the review period should be viewed in a broader context. According to coingabbar data from 29th August, the market sentiment indicator "Fear & Greed" decreased to 68 points ("greed") from 73 points the previous day – indicating a cooling of sentiment, which, however, did not yet enter the "fear" zone. Bitcoin dominance, according to tv-hub.org data, was approx. 58.8% in August 2026, although various sources indicate a broader range from approx. 58% to approx. 60%; increased dominance is consistent with the observation that on the day of the correction, altcoins (Solana approx. -4.65%, XRP approx. -4.80%) fell more sharply than Bitcoin. The movement should be considered a relaxation of an overheated August rally, largely driven by ETF inflows and positioning, rather than a trend reversal – both major assets are still trading significantly above early-month levels.

In the near term, market attention is likely to focus on several factors. Firstly, on the Fed's September meeting and whether Warsh's hawkish rhetoric will translate into a concrete rate decision – currently, according to CME data, the market assesses the probability of a September hike at approx. 57%. Secondly, on the direction of institutional ETF flows after the interruption of the nine-day inflow streak: a resumption would confirm demand resilience, while continued outflows would amplify the risk of correction. Thirdly, on macroeconomic data, including PCE inflation, which was one of the central arguments of Warsh's speech. Several observers indicate that after a sharp rally and subsequent correction due to forced liquidations, the market may remain sensitive to rapid fluctuations if positioning becomes too one-sided. This article is an informative overview and should not be considered investment advice; always conduct your own research before making decisions.

Sources

• The Rio Times - "Bitcoin Falls to US$77,838 as Warsh's Jackson Hole Debut Rattles Risk Assets" (29.08.2026): https://www.riotimesonline.com/crypto-markets-bitcoin-majors-saturday-august-29-2026/
• coingabbar - "Crypto News Today August 29: Bitcoin Falls 3.8% as Market Drops 2.9%" (29.08.2026): https://www.coingabbar.com/en/crypto-currency-news/crypto-news-today-29-august-bitcoin-ethereum-defi-market-down
• CoinDesk - "Bitcoin Holds $80,000, Solana Leads Majors Higher Before Warsh's Jackson Hole Debut" (28.08.2026): https://www.coindesk.com/markets/2026/08/28/bitcoin-holds-usd80-000-solana-leads-majors-higher-before-warsh-s-jackson-hole-debut
• Yahoo Finance - "Bitcoin and ethereum prices today, Friday, August 28, 2026: Bitcoin moves above $81,000 before falling back" (28.08.2026): https://finance.yahoo.com/personal-finance/investing/article/bitcoin-and-ethereum-prices-today-friday-august-28-2026-bitcoin-moves-above-81000-before-falling-back-111816647.html