Bitcoin and Global Markets Slide After Fed Chair Warsh's Hawkish Jackson Hole Remarks

Bitcoin, which had climbed from under 65,000 dollars to more than 81,000 dollars in recent weeks, suffered its first serious pullback after US Federal Reserve Chair Kevin Warsh struck a hawkish tone at the Jackson Hole symposium on Friday, 6 Shahrivar 1405 (August 28, 2026), falling about 3,000 dollars within hours to below 77,000 dollars. According to Arzdigital, the selloff spread to other financial markets, including equities and precious metals.

In his remarks, Warsh stressed that inflation remains well above the 2 percent target, with the PCE inflation index reaching 3.7 percent in July, and said the Fed will not hesitate to act if needed to bring inflation down, though he gave no explicit timeline for a rate increase. Following his remarks, traders raised the odds of a Fed rate hike at the September meeting from 33 percent to 60 percent, which strengthened the dollar and pushed up US Treasury yields.