According to crypto analysts, trader sentiment depends on the FOMC meeting and comments from Fed Chairman Powell, factors that could influence Bitcoin's next price movement.
In a context of easing fears of monetary inflation in the world's largest economy, Bitcoin could recover above the psychological threshold of $90,000.
The ongoing decline of Bitcoin for over two months has raised numerous alarms about the possibility that the current Bitcoin bull market has ended, challenging the theory of the four-year market cycle.
Despite widespread investor concerns, according to Markus Thielen, CEO of 10x Research, Bitcoin may be on track to return above $90,000 due to easing inflation worries in the United States.
"We might see a counter-trend rally since prices are oversold and there is a good chance that the Fed will be slightly dovish," explains Thielen to Cointelegraph, adding:
"This is not a significant bullish development, but rather a fine-tuning by policymakers. We believe that BTC will find itself in a wider consolidation range, with the possibility of trading back towards $90,000."
Investor confidence may also be boosted by comments from Federal Reserve Chairman Jerome Powell, who stated that the Fed "will remain on hold in a context of increasing uncertainty among households and businesses," reports 10x Research in a post from March 17 shared on X, adding:
"Powell also expressed doubts about the lasting inflationary impact of Trump's tariffs, referring to the 2019 scenario where tariff-related inflation was temporary and the Fed ultimately cut rates three times."
Meanwhile, investors are eagerly awaiting today's Federal Open Market Committee (FOMC) meeting, looking for indications on the Fed's monetary policy for the rest of 2025, a development that could affect investor interest in risk assets like Bitcoin.
Source: cointelegraph.it