Bitcoin Holds $113K While Solana and Dogecoin Outperform Before Fed Chair’s Speech

Bitcoin Holds Near $113K as Solana, Dogecoin Outperform Ahead of Powell’s Jackson Hole Speech

Crypto markets remained subdued Thursday as investors awaited Federal Reserve Chair Jerome Powell’s speech at Jackson Hole, which is expected to shape expectations around a possible rate cut in September. Bitcoin (BTC) traded just above $113,600 after a minor bounce, with traders eyeing any shift in tone that could either support risk assets or trigger renewed downside.

Solana (SOL) and Dogecoin (DOGE) led large-cap gains, each rising around 4%. Other major tokens, including XRP, Ethereum (ETH), BNB, and Tron (TRX), posted modest increases of 1%–3%.

While weakening labor data has fueled hopes for monetary easing, inflation pressures tied to tariffs continue to weigh on sentiment.

“The Fed faces a difficult balancing act — cut too soon and risk reigniting inflation, wait too long and growth risks deepen,” said Nick Ruck, director at LVRG Research, in a note to CoinDesk.

Sentiment in the crypto market has deteriorated sharply. The Crypto Fear & Greed Index fell to 44 — its lowest level in nearly two months — down from 75 just days earlier. The drop mirrors Bitcoin’s price action, which briefly fell to $112,500 this week before finding support near early August lows.

Analysts warn that a decisive break below $108,000 could open the door to a deeper correction toward $100,000.

“Bitcoin bounced off monthly lows at $112,500, but the recent break below the 50-day moving average triggered fresh selling,” said FxPro’s chief market analyst Alex Kuptsikevich. “If the $108,000 support fails to hold, the road to $100,000 becomes a real possibility.”

Kuptsikevich also noted that crypto has started losing momentum faster than tech equities, again serving as a bellwether for broader investor sentiment.

On-chain data highlights growing weakness. CryptoQuant reported that short-term holders are now selling at a loss — the first time this has occurred since January — a dynamic often seen before larger drawdowns. Santiment also noted falling volumes in August compared to July, even as retail participation increased, a pattern often seen near local tops.

According to Presto Research, bitcoin’s recent surge may reflect macro conditions more than renewed demand.

“BTC’s strength may be more about dollar depreciation than genuine capital inflows,” the firm wrote. “When adjusted for currency effects, the current price remains below the 2021 peak and post-election 2024 levels.”

With Powell’s comments expected to set the tone for the Fed’s September meeting, crypto traders are preparing for volatility. A dovish tilt could spark relief rallies, but any hesitation around rate cuts could accelerate Bitcoin’s decline toward six figures.