[LIVE] Crypto News Today, October 14 — Why Is Crypto Crashing Today? Whales Short Bitcoin as Market Awaits Powell: Next Crypto to Explode?

Core Insights - The crypto market experienced a downturn as traders reduced exposure ahead of Federal Reserve Chair Jerome Powell's policy speech, with Bitcoin dropping to approximately $111,856, a 3% decline [1] - The global crypto market cap decreased by 3.2% to $3.8 trillion, indicating a cautious sentiment following a brief rebound [1] - Ethereum and other cryptocurrencies also faced significant declines, with Ethereum losing 4% to $4,012 and other notable drops in various altcoins [2] Federal Reserve Context - Powell's upcoming remarks are highly anticipated as they will provide insights into the Fed's stance on interest rates, especially after the recent rate cut of 0.25% to a range of 4.00%–4.25% [3] - The Fed's decision-making is complicated by the ongoing U.S. government shutdown, which has delayed key economic reports, making Powell's speech crucial for market direction [3] - The market is particularly focused on how Powell will balance the dual mandate of full employment and price stability, with inflation remaining above 2% for nearly five years [4] Market Sentiment and Trading Activity - There is a notable increase in short positions among large traders, indicating a bearish sentiment in the market [5] - On-chain data reveals significant short activity, with one trader holding $98 million in shorts across various cryptocurrencies [5] - Despite the current cautious sentiment, corrections in the market often set the stage for potential breakout phases, with traders looking for resilient assets [6]