Fed Whispers Send Crypto Traders Into Frenzy—Again

Another day, another Fed-induced market tremor. This time, crypto’s riding the volatility wave as traders parse every syllable from central bankers.

Why it matters: When traditional finance sneezes, digital assets catch pneumonia—or moon. There’s no in-between.

The playbook: Bitcoin pumps on dovish hints, altcoins follow, then everyone remembers most projects are vaporware. Rinse and repeat.

Bottom line: Wall Street’s still playing checkers while crypto degens gamble on 4D chess. Place your bets before the next ’unexpected’ policy shift.

$104,821 stabilizes around $105,000, noteworthy statements from Federal Reserve members draw attention. While uncertainties in tax and interest policies loom over U.S. markets, the Japanese government clarifies ongoing talks concern tax reductions rather than exemptions. Amidst these developments, the prices and future trajectories of altcoins like Pi Coin, Ethereum (ETH)$2,476, EOS, and Avalanche (AVAX) capture the spotlight.

ContentsFederal Reserve StatementsAnalysis of Pi Coin, ETH, EOS, and AVAX

Federal Reserve Statements

The Federal Reserve persists in its position against interest rate cuts, citing robust employment figures. The Personal Consumption Expenditure (PCE) forecasts have dipped to 2.2%, yet the Fed hints at potential rate cuts during significant economic downturns. Anticipation builds for the upcoming G7 summit to shed light on tariffs and interest rates.

Federal Reserve member Hammack recently shared critical observations. Indicating simultaneous inflation and recession scenarios, Hammack’s comments suggest a challenging environment for risk markets.

“The WHITE House’s tax bill complicates predictions. I’m wary of overreacting to tariffs. Stagflation appears likely as future policies might offset trade policy effects. Uncertainty significantly impacts economic activities.”

Uncertainty and stagflation are pivotal themes in recent discourse by Powell and other Fed officials. Such ambiguity is detrimental to risk markets.

Analysis of Pi Coin, ETH, EOS, and AVAX

The 0.682-dollar level remains a support for altcoins, despite May’s anticipated volatility falling short of expectations. A swift profit-taking impulse caused a price drop below one dollar after reaching 1.67 dollars.

Long-term risks related to transparency remain significant concerns, but maintaining support could enable another testing above the one-dollar mark.

ETH holds the 2,400-dollar support despite challenges closing above 2,600 dollars. The development of higher lows is promising, with Bitcoin’s resilience enhancing market sentiment. Movement above 2,740 dollars soon is anticipated, normalizing prices above 3,000 dollars amidst the unpredictable nature of the crypto market.

Following the May 7 surge, EOS continues to observe lower lows with the 0.75-dollar level pivotal. Short-term losses could lead to tests within the 0.68 to 0.65-dollar range.

Finally, AVAX maintains 22 dollars as a base, but horizontal movement persists. If closure remains below 23 dollars, the 19.8-dollar risk continues. Surpassing 23 dollars triggers a recovery aiming for 27 dollars.

You can follow our news on Telegram, Facebook, Twitter & Coinmarketcap Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that cryptocurrencies carry high volatility and therefore risk, and should conduct their own research.