1 month ago
Bitcoin deals with adjacent liquidity into the play adjacent arsenic traders crook to the cardinal Fed gathering for BTC terms clues implicit the coming week.
Key points:
Bitcoin attacks liquidity clustered adjacent to spot terms into the play close.
Market commentators oculus important BTC terms levels beneath $95,000.
The Fed’s upcoming involvement complaint determination is the cardinal macro lawsuit to ticker adjacent week.
Bitcoin (BTC) fell toward $95,000 into the May 4 play adjacent arsenic traders braced for much macro-induced downside.
BTC/USD 1-hour chart. Source: Cointelegraph/TradingView
BTC terms liquidations equine aft 10-week highs
Data from Cointelegraph Markets Pro and TradingView showed BTC/USD retreating from multimonth highs toward the May open.
Hitting liquidity clustered astir spot price, Bitcoin created a look for volatility arsenic marketplace participants discussed cardinal levels.
“Dense longs clump 95.7k-96k, dense shorts 96.5k-97k close astir existent terms (~96.2k),” fashionable trader TheKingfisher wrote successful portion of ongoing analysis connected X.
“These are terms magnets. Expect chop/volatility arsenic they get tested.”
BTC liquidation heatmap. Source: CoinGlassThe latest information from monitoring assets CoinGlass showed terms colliding with bargain liquidity, with the bulk of asks clustered astir $97,200.
With the past week seeing multiple liquidity “grabs,” immoderate saw the imaginable for that behaviour to proceed arsenic the cardinal $100,000 people edged closer.
— NiFτy (@niftyinvest) May 4, 2025“Positions from $94K–$97K flushed astatine weekend,” fashionable trader BitBull summarized.
Assessing the imaginable for a caller dip, crypto trader, expert and entrepreneur Michaël van de Poppe said that BTC/USD had plentifulness of country to retest enactment portion inactive maintaining its caller comeback.
“What I'd similar to spot connected $BTC is that we're holding supra $91.5-92K,” helium told X followers connected the day.
“That validates for maine the continuation towards a caller ATH arsenic the erstwhile scope enactment becomes enactment again.”
BTC/USDT 1-day chart. Source: Michaël van de Poppe/XBitcoin downside expected into Fed complaint chopped decision
Expectations of volatility were precocious heading into the caller week, with the US Federal Reserve owed to determine connected involvement rates.
Related: Bitcoin hodler unrealized profits adjacent 350% arsenic $100K risks sell-off
As Cointelegraph reported, the stakes for marketplace sentiment are precocious earlier the event. Recession warnings and unit from President Donald Trump harvester with hawkish signals from Fed officials.
NOTE: In little than a month, Trump has pressured Powell and the Fed to little involvement rates 3 times already... pic.twitter.com/qaQc7zJnuw
— André Dragosch, PhD⚡ (@Andre_Dragosch) May 2, 2025The latest information from CME Group’s FedWatch Tool nevertheless maintains minimal likelihood of a complaint chopped connected May 7.
Fed people complaint probabilities for May 7 FOMC meeting. Source: CME Group“Remind yourself that Crypto & Altcoins person the temper to beryllium correcting successful the week anterior to the FED meeting,” Van de Poppe commented.
“I fishy that we'd beryllium having the extremity of that correction astir Tuesday and spell up from there.”This nonfiction does not incorporate concern proposal oregon recommendations. Every concern and trading determination involves risk, and readers should behaviour their ain probe erstwhile making a decision.
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