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Bitcoin Eyes $100K as Fed Decision Looms: Rally or Reversal Ahead?

Bitcoin Eyes $100K as Fed Decision Looms: Rally or Reversal Ahead?

Xiao Liang by Xiao Liang
May 7, 2025
in Finance
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Bitcoin is once again making headlines — this time trading just below $97,000 — as the market braces for a pivotal U.S. Federal Reserve announcement. With investor eyes locked on Chair Jerome Powell’s upcoming comments, the next move for BTC could be big.

What’s Driving the Momentum?

  • Bitcoin is currently testing the $97.5K resistance level, with bulls eyeing the psychological $100K mark.
  • A dovish tone from the Fed (i.e., signaling interest rate cuts or no further hikes) could serve as rocket fuel for Bitcoin’s breakout.
  • On the flip side, a hawkish stance may trigger a short-term dip, with support zones around $91.5K–$92K.

Market Signals to Watch

  • On-chain metrics show reduced volatility and steady open interest — signs of growing market maturity.
  • Analysts are also tracking short liquidation zones, which could amplify any upward surge if BTC breaks above $97.5K.
  • Meanwhile, network activity has dipped slightly — a factor worth watching as part of the broader sentiment shift.

Our Analysis

Bitcoin’s flirtation with six figures comes at a delicate moment. The Fed’s policy tone could determine whether BTC breaks out or pulls back. This is a classic macro-meets-crypto moment — and it’s one that traders, investors, and tech observers shouldn’t ignore.

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Bottom Line:

The next few days could shape Bitcoin’s near-term path. Whether we see a push past $100K or a market cooldown, volatility is back on the table.

Tags: BitcoinCrypto
Xiao Liang

Xiao Liang

Xiao Liang leads Bumbel’s editorial vision across business, fintech, and startup ecosystems. With a background in economics and digital media, Xiao curates sharp, forward-looking content that helps founders, operators, and investors navigate the fast-moving tech world. When not editing stories, Xiao explores trends in Southeast Asia’s startup scene and the future of digital finance.

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