Powell may signal a 'dovish pause' at this week's Fed meeting, which could weaken the dollar and provide near-term upside for Bitcoin. Still, remarks on balance-sheet policy or lingering inflation risks could curb any sustained rally.
Bitcoin fell with risk assets as unreliable US data, shifting Fed expectations and rising BTC–equity correlation hit investor confidence. A clearer macro picture or Fed guidance could spark a rebound.

Bitcoin climbed about 3% over the weekend amid improving risk appetite, short-covering and optimism tied to a government reopening. We'll examine the drivers, durability risks and the indicators traders should watch next.