Fed Hits Pause on Rate Hikes—Bitcoin Eyes $100K Breakout

Wall Street’s favorite monetary narcotic—cheap money—might be back on the menu. With the Fed freezing interest rates, crypto’s poster child is primed for a violent upside.

Liquidity tsunami incoming: Traders are front-running the ’don’t fight the Fed’ playbook, dumping cash into risk assets. Bitcoin’s scarcity narrative just got a steroid shot.

Warning: Past performance doesn’t guarantee future results (but try telling that to crypto bros with diamond hands). Meanwhile, traditional finance still can’t decide if BTC is digital gold or a speculative casino chip—classic hedge fund cognitive dissonance.

Bitcoin spiked to $96,800 after news that the U.S. and China will resume trade talks this week, igniting a rapid $1,700 rally. The announcement improved investor sentiment across the crypto market, lifting altcoins like XRP, Cardano, and Dogecoin. 

With the trade war cooling down, attention now shifts to the upcoming Federal Reserve interest rate decision — a key macro event that could determine Bitcoin’s short-term direction.

But is Bitcoin following macro cues, or is something deeper at play?

Bitcoin Price Forecast ahead of FOMC Meeting

According to crypto analyst Stockmoney Lizards, Bitcoin’s long-term movements are driven more by historical cycles than by global headlines. Their analysis shows that:

• BTC rallies and corrections align with the 4-year halving cycle
  
• The 2021 bull run was followed by a textbook bear market, dropping over 70% by late 2022
  
• The dip below the 200-week SMA signaled a trend reversal, just like in previous cycles
  

The analyst claims macro events — like Fed meetings and trade deals — merely, but don’t define Bitcoin’s trajectory.

ETF Demand and Supply Shock Could Push Bitcoin Over $100K

With Bitcoin’s post-halving phase in play and institutional demand rising through ETFs, many believe the $100K mark is in sight. The current correction may extend into Q4, but if history repeats, ais likely on the horizon.

Arthur Hayes: Bitcoin Could Explode Again

BitMEX founder Arthur Hayes offers a contrasting — yet bullish — outlook. In a recent interview, Hayes said:

• April 9 was the market bottom
  
• Central banks may resume money printing to combat economic slowdown
  
• This could lead to a Bitcoin rally similar to the 2022–2025 run, where BTC surged 6x
  

Hayes believes fear and uncertainty in traditional markets may again push investors toward crypto.

Bitcoin’s rally past $96.8K may just be the beginning. With global easing tensions and the FOMC meeting on the horizon, volatility is expected. But if analysts are right, the long-term bull cycle remains intact — and $100K may come sooner than expected.