Source: Cointelegraph.com NewsKey points:<\/p>\n
Bitcoin and gold trade in lockstep on low timeframes as macro volatility triggers heighten.
\nThe Federal Reserve interest rate decision and news conference are just hours away.
\nMarket sentiment for rate cuts in 2025 decreases sharply ahead of the FOMC meeting.<\/p>\n
Bitcoin (BTC) saw a flash short-term trend change on May 7 as geopolitical triggers gave risk assets fresh volatility.
\nBTC\/USD 1-hour chart. Source: Cointelegraph\/TradingViewBitcoin traders eye Fed for \u201ctone changes\u201d
\nData from Cointelegraph Markets Pro and TradingView showed an abrupt turnaround for BTC\/USD after the pair dipped under $94,000 to set new May lows.
\nThe previous day\u2019s Wall Street trading session set the stage for a return to strength, even as stocks finished lower.
\nXAU\/USD 4-hour chart. Source: Cointelegraph\/TradingViewBitcoin and gold reached local highs of $97,700 and $3,435, respectively, before consolidating.
\nNews of tensions boiling over between India and Pakistan, along with potential progress on a US-China trade deal, kept markets lively.\u00a0<\/p>\n
This reaction to US-China trade talks being scheduled tells you all you need to know.A LOT is already priced-in here. pic.twitter.com\/jT6pKOdgiQ\u2014 The Kobeissi Letter (@KobeissiLetter) May 7, 2025<\/p>\n
Traders had no time to relax, with the Federal Reserve interest rate decision due later on May 7. Source: Cointelegraph.com NewsKey points: Bitcoin and gold trade in lockstep on low timeframes as macro volatility triggers heighten. The Federal Reserve interest rate decision and news conference are just hours… <\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[5],"tags":[],"_links":{"self":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts\/128749"}],"collection":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=128749"}],"version-history":[{"count":0,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts\/128749\/revisions"}],"wp:attachment":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=128749"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=128749"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=128749"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
\nWhile market expectations for the Federal Open Market Committee (FOMC) meeting were practically unanimous, as Cointelegraph reported, Fed Chair Jerome Powell\u2019s subsequent statement and news conference were of more interest.\u00a0
\n\u201cThe market will be eager to watch for any dovish or hawkish changes in their tone, which has been pretty mixed recently,\u201d popular trader Daan Crypto Trades summarized in an ongoing X analysis alongside data from CME Group\u2019s FedWatch Tool.
\nFed target rate probabilities for May 7 FOMC meeting. Source: CME GroupExamining Bitcoin order book activity, Keith Alan, co-founder of trading resource Material Indicators, said that nearby liquidity had been \u201ccleared out\u201d before the event.
\n\u201cPleasantly surprised BTC held above the YOU, but won\u2019t be surprised if price round trips the range before the end of the week,\u201d he told X followers, referring to the yearly open level at $93,500 as a potential downside target.
\nBTC\/USDT order book data. Source: Keith Alan\/X
\n\u201dClearly pessimistic\u201d
\nContinuing, Darkfost, a contributor to onchain analytics platform CryptoQuant, noted declining odds of rate cuts coming sooner in 2025.
\nRelated: Bitcoin could rally regardless of what the Federal Reserve FOMC decides this week: Here\u2019s why
\nAt the time of writing, the June FOMC meeting had combined rate cut odds of around 30% \u2014 noticeably lower than in recent weeks.
\n\u201cExpectations are clearly pessimistic for now,\u201d he concluded.\u00a0
\n\u201cIf the Fed does decide to cut rates in this context, it will trigger volatility and might spark fear among investors (depending about how many Bps).\u201d
\nFed target rate probability comparison for June 18 FOMC meeting. Source: CME GroupThis article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.Read More<\/a><\/p>","protected":false},"excerpt":{"rendered":"