The post Is This Crypto Rally A Bull Trap? appeared on BitcoinEthereumNews.com.

Crypto prices are showing surprising bullish strength, with meme coins leading the charge, despite Fed Chair Jerome Powell’s hawkish comments post-FOMC.  The Bitcoin price, which slipped below $116,000 after Powell’s speech, has since bounced back up to $118,000 at press time. Similarly, Ethereum continues to trade above the $3,800 mark, despite falling below the key $3700 support level late on Wednesday.  Meme coin prices are seeing a broad-based rally on Thursday. The Pump.fun coin is up by 24% over the past 24 hours, while Bonk, Floki and Brett have recorded strong gains as well.  However, they remain below key resistance levels, which has raised concerns about a potential bull trap.  FOMC Keeps Interest Rates Unchanged, But Powell Adopts A Hawkish Stance Wednesday’s FOMC meeting was in line with the market expectations as the central bank kept its Federal target rate unchanged for the 5th time in a row.  Governor Christopher Waller and Fed Vice Chair for Supervision Michelle Bowman voted against the consensus decision, wanting a quarter percentage point rate cut instead. Interestingly, this is the first time since 1993 when two governors have dissented against the consensus FOMC decision.  Fed Chair Jerome Powell adopted a hawkish stance in his post-FOMC comments, claiming that inflation in the economy remained “somewhat elevated” and that Trump’s tariffs are pushing prices up in some goods. Moreover, he refused to give any hints regarding the September FOMC.  Following Powell’s comments, the CME FedWatch is no longer pricing in an interest rate cut in September.  The odds of the Federal Reserve not cutting interest rates even once this year have surged to 25% on the market prediction platform, Kalshi. This would be a decided bearish scenario for the crypto market.  Meme Coin Prices Surge, But Is It A Bull Trap? Meme coin prices are seeing…

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Filed under: News - @ July 31, 2025 11:25 pm