On the morning of May 7, 2023, after BTC broke through $96,000, some analysts believe that the previous downward wave structure has been broken, which may start a new round of ABC rebound cycle, suggesting a shift to a bullish stance.

The 4-hour level shows that the Bollinger Bands are narrowing, and insufficient trading volume is limiting the rebound, so caution is needed for the risk of a pullback.

2. Market Dynamics and External Factors

Macroeconomic Impact

With the Federal Reserve's interest rate meeting approaching (in the early hours of May 8), the market's expectation for maintaining the interest rate unchanged is at 97.3%, and the sentiment is cautious.

The policies of the Trump administration continue to impact the market, and the legislative process in Arizona to potentially include BTC in its strategic reserves has attracted attention; if passed, this may encourage institutional capital inflow.