Market sentiment weakens as macro fears hit crypto

[chainsniff]

Crypto market sentiment has fallen to a six-week low following heightened macro uncertainty and a broad sell-off across risk assets. The downturn followed U.S. President Donald Trump’s nomination of former Federal Reserve governor Kevin Warsh to replace Jerome Powell as Fed chair.

While Warsh has spoken favorably about Bitcoin, he is viewed as a more hawkish candidate, signaling tighter monetary policy and an exit from quantitative easing. Gold and silver fell sharply after the announcement, while the S&P 500 declined 0.43%.

Meanwhile, the Crypto Fear & Greed Index dropped to 14 out of 100, as former Binance CEO Changpeng Zhao expressed reduced confidence in the idea of a near-term Bitcoin supercycle.