Federal Reserve Chair Jerome Powell has raised concerns about stock valuation risks, describing current equity prices as "fairly highly valued." The S&P 500's Shiller P/E ratio has reached 40.74, approaching levels last seen during the 2000 market peak. While on-chain data continues to be crucial for assessing market sentiment, Powell emphasized that the Federal Reserve's primary focus remains on managing inflation and employment. His comments, made as he approaches the end of his term in 2026, suggest potential market volatility ahead.