Bitcoin and Ethereum prices faced significant declines as markets braced for Federal Reserve Chair Jerome Powell's upcoming speech at Jackson Hole. Bitcoin fell below $114,000, marking a 9% drop from recent record highs, while Ether dipped to $4,200. The broader cryptocurrency market suffered, with many altcoins experiencing losses ranging from 4% to 6%. The downturn coincided with traditional markets also showing risk aversion, as major indexes recorded declines. Investors are reassessing the prospects of a Federal Reserve interest rate cut in September in light of unexpectedly strong inflation data. Amidst these market movements, some crypto treasury strategy companies have seen substantial losses, including a significant drop in companies focused on Bitcoin and Ethereum. Analysts suggest a shift in expectations regarding interest rates, with many now doubting the likelihood of cuts following recent economic indicators.

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