Everyone has misinterpreted Powell's speech.
When asked by a reporter whether there is value and benefits in the country establishing Bitcoin reserves, Powell's exact words about not allowing Bitcoin ownership were: The Federal Reserve Board has stipulated the assets we can hold in reserve, and we currently do not allow the ownership of cryptocurrencies. We are not seeking legal changes ourselves; such issues should be considered by Congress, not the Federal Reserve seeking legal changes.
The meaning is very clear: we simply do not allow BTC to be held as reserve assets at this time; the future depends on Congress's decision, not us seeking legal changes on such issues, but rather Congress deciding!
Isn't this good news? Is the market misinterpreting it like this?