Key points to remember:
- Bitcoin fell to $75,100 on April 29 after the Federal Reserve opted to leave interest rates unchanged.
- Bitunix Analysts Warn Rising Oil Prices Could Stifle Future liquidity For BTC and the crypto economy.
- Jerome Powell linked the FOMC hold to tensions in the Middle East, as Brent crude returns to pre-ceasefire levels.
BitcoinIt is Volatile Session following the Fed decision
It was another up and down class session for bitcoin on April 29, as the leading digital asset rose from a base just above $76,000 to a high of $77,800 before falling just below the $75,000 mark. This end of the day volatility followed the widely anticipated decision by the Federal Reserve to leave interest rates unchanged.
THE cryptocurrencyThe move appeared to mirror global stocks, continuing a broader market trend of marginal daily losses that had persisted since Monday. According to daily chart data, bitcoin remained in a range close to $76,200 until Tuesday evening, when it sparked the first of two significant rallies in a 24-hour window. The initial surge propelled the asset past the psychological threshold of $77,000, where it consolidated for several hours.
However, a second wave of buying pressure beginning around 5:30 a.m. EDT pushed the price to a brief high of $77,882 before heavy selling effectively erased the session’s advance. At 1 p.m. EDT, bitcoin was trading near $75,100, representing a 1.3% drop over 24 hours, a move that sent its weekly performance into negative territory. Despite the immediate retracement, the asset remains on track to close April with double-digit gains, although its market cap remains limited to $1.52 trillion.
In his final news conference as Federal Reserve chairman, Jerome Powell — who recently faced personal attacks from Trump administration officials — justified the Federal Open Market Committee’s position by citing escalating tensions in the Middle East and “sticky” energy. inflation. With Brent prices bouncing At levels observed before the temporary ceasefire between the United States and Iran, economists are sounding the alarm: the window for a “soft landing” is rapidly closing, raising the specter of a global recession.
Yet reports that the Trump administration intends to maintain a strict blockade on Iranian oil indicate that a diplomatic resolution remains elusive. In fact, after the latest negotiations turned out to be nothing more than a damp squib, Washington’s rhetoric has become increasingly hawkish. Figures such as retired four-star general Jack Keane would advocate kinetic action as the primary lever to force Tehran return to the negotiating table.
However, analysts warn that a resumption of strikes against Iranian targets would almost certainly trigger a regional conflagration, with retaliatory strikes likely targeting critical energy infrastructure in Gulf states.
At the same time, analysts warn that even tentative signs of easing around the Strait of Hormuz will no longer be enough to stabilize the country. market sentiment. The market, they argue, no longer trades solely on the risk of conflict in the Middle East; it begins to assess the possibility that the global energy market will return to a regime dominated by price wars and competition for market share.
According to a Bitunix analyst, this change is very important for bitcoin and the crypto economy.
“This change is important across the inflation And liquidity channel,” the analyst explained. “A further rise in energy prices would directly limit the market’s ability to price aggressive easing from the Federal Reserve. BTC can still maintain a relatively strong risk asset structure in the near term, but if high oil prices persist longer, expectations for the future liquidity conditions could be under pressure again.
