Fed Interest Rate Pause Could Push Bitcoin Price Past $100K
Debashree Patra7 May 20252 min read
Bitcoin spiked to $96,800 after news that the U.S. and China will resume trade talks this week, igniting a rapid $1,700 rally. The announcement improved investor sentiment across the crypto market, lifting altcoins like XRP, Cardano, and Dogecoin.
With the trade war cooling down, attention now shifts to the upcoming Federal Reserve interest rate decision — a key macro event that could determine Bitcoin’s short-term direction.
But is Bitcoin following macro cues, or is something deeper at play?
Bitcoin Price Forecast ahead of FOMC Meeting
According to crypto analyst Stockmoney Lizards, Bitcoin’s long-term movements are driven more by historical cycles than by global headlines. Their analysis shows that:
- BTC rallies and corrections align with the 4-year halving cycle
- The 2021 bull run was followed by a textbook bear market, dropping over 70% by late 2022
- The dip below the 200-week SMA signaled a trend reversal, just like in previous cycles
The analyst claims macro events — like Fed meetings and trade deals — merely amplify existing market emotions, but don’t define Bitcoin’s trajectory.
ETF Demand and Supply Shock Could Push Bitcoin Over $100K
With Bitcoin’s post-halving phase in play and institutional demand rising through ETFs, many believe the $100K mark is in sight. The current correction may extend into Q4, but if history repeats, a strong bullish wave is likely on the horizon.
Arthur Hayes: Bitcoin Could Explode Again
BitMEX founder Arthur Hayes offers a contrasting — yet bullish — outlook. In a recent interview, Hayes said:
- April 9 was the market bottom
- Central banks may resume money printing to combat economic slowdown
- This could lead to a Bitcoin rally similar to the 2022–2025 run, where BTC surged 6x
Hayes believes fear and uncertainty in traditional markets may again push investors toward crypto.
Bitcoin’s rally past $96.8K may just be the beginning. With global easing tensions and the FOMC meeting on the horizon, volatility is expected. But if analysts are right, the long-term bull cycle remains intact — and $100K may come sooner than expected.
Never Miss a Beat in the Crypto World!
Stay ahead with breaking news, expert analysis, and real-time updates on the latest trends in Bitcoin, altcoins, DeFi, NFTs, and more.
FAQs
- Yes, the Fed’s interest rate stance may impact short-term BTC moves by influencing market risk sentiment.
