Market Wrap: Cryptocurrencies Fade on News That Powell Will Be Renominated as Fed Chairman

Market Wrap: Cryptocurrencies Fade on News That Powell Will Be Renominated as Fed Chairman

Bitcoin traded lower on Monday after buyers failed to sustain a weekend rally toward $60,000. The cryptocurrency was trading at around $56,000 at press time and is down about 5% over the past 24 hours.

Equities and cryptocurrencies initially ticked higher earlier during New York trading hours after U.S. President Joe Biden said he will renominate Federal Reserve Chairman Jerome Powell, following some speculation that Fed Governor Lael Brainard could replace Powell to lead the central bank for the next four years.

For now, some analysts view the current pullback in cryptocurrencies as a normal occurrence after a strong rally over the past month.