"Bullish Bitcoin Long Positions Surge Before Federal Reserve Decision"

Bitcoin Bulls Prepare for Fed FOMC Interest Rate Decision

As the market eagerly anticipates the Federal Open Market Committee (FOMC) meeting on May 7, Bitcoin bulls are maintaining a strong position around $94,500. Analysts have noted a significant cluster of long positions forming around $94,400 in the futures market, indicating a bullish sentiment among investors. This pattern of increased long positions was last observed at the end of April, leading to a push in BTC prices to $97,500.

Bitcoin Futures Data Signals Continued Buying Interest

The data also shows a noteworthy increase in Bitcoin futures open interest, with a rise of 2,000 BTC (approx. $189 million) over the past few hours. Coupled with a 15% uptick in trading volume, this suggests sustained buying pressure despite recent price fluctuations. The aggregated funding rate, which remains close to neutral, reflects a balanced sentiment between long and short positions.

Market Analysts Remain Optimistic about Bitcoin’s Outlook

Market analyst Michaël van de Poppe predicts that Bitcoin could continue its upward trend, with the key factor being a potential correction in the Gold market after the FOMC meeting. This event could indicate the start of a new business cycle and have implications for Bitcoin’s price movement in the near future.

Bitcoin Momentum Ahead of FOMC Meetings

According to Swissblock, Bitcoin’s momentum tends to slow down before FOMC meetings, followed by increased price volatility. An analysis of Bitcoin’s 25-day rate of change (ROC) from October 2024 to May 2025 shows a pattern of price appreciation whenever the ROC trended upwards. This trend is currently observed in May 2025, suggesting a potential price increase for Bitcoin.

FOMC Meeting as a Potential Catalyst

Swissblock emphasizes that the upcoming FOMC meeting could act as a catalyst for Bitcoin’s next move. The decision on interest rates and the tone set by Federal Reserve Chair Jerome Powell could trigger volatility in financial markets, including the cryptocurrency space. Investors are advised to closely monitor these developments for potential trading opportunities.

This article serves as a market analysis and does not constitute investment advice. Readers are encouraged to conduct their own research and exercise caution when making financial decisions.