The post Bitcoin Price Scenarios, Fed Rate Decision appeared on BitcoinEthereumNews.com.

Rate cut likely means Bitcoin rises, possibly aiming for $100K. No rate change might keep Bitcoin stuck in current range. Rate hike could push Bitcoin down toward key support zones. On May 7, 2025, the Federal Open Market Committee (FOMC) will wrap up its two-day meeting, making a key decision that could have an impact on both the stock and cryptocurrency markets. The focus will be on whether Jerome Powell and the FOMC choose to adjust interest rates.  With President Trump vocal about his stance, there’s a 97% chance, according to the CME FedWatch Tool, that the FOMC will keep rates unchanged at 4.50%. This would mark the third consecutive meeting without any rate adjustments, following the previous cut in December 2024 from 5.5%. As the FOMC press conference approaches, Bitcoin has shown strong performance, reaching a high of $97,600 before seeing a slight pullback today. Santiment: Four Bitcoin Scenarios Based on Fed’s Decision According to Santiment, there are four possible outcomes for Bitcoin’s price based on the Federal Reserve’s decision on interest rates: Scenario 1: Rate Cut Could Push Bitcoin Higher If the Federal Reserve cuts interest rates, Bitcoin could go up in price. When rates are lower, people usually look for higher-risk investments, like cryptocurrencies, to get better returns. This could bring more money into Bitcoin, causing its price to rise. If this happens, Bitcoin could see a big jump, possibly even hitting $100,000. If Bitcoin can close above $98,000, it could quickly rise toward $102,000 and possibly reach a new all-time high after that. Scenario 2: No Change in Rates – Bitcoin Stays Stable If the Federal Reserve keeps the interest rates the same, Bitcoin might not move much.  And without any big changes, the market could stay steady for a while and Bitcoin’s price could stay…

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Filed under: News - @ May 7, 2025 10:22 am