Will the scenario repeat itself? Bitcoin price under microscope ahead of Fed meeting

Bitcoin investors are awaiting the upcoming Federal Reserve (FOMC) meeting, fearing a repeat of the violent volatility and price declines seen following the meeting.

Analysis shows that even in the event of multiple interest rate cuts in 2025, the price of Bitcoin will fall in the days after the Fed meeting.

That view is based on a recurring pattern, showing a clear decline after nearly every meeting since the middle of last year.

Currently, Bitcoin price is trading near $77,000 after failing to break above the $79,500 level twice, fueling fears of a new round of correction, especially amid expectations of keeping interest rates on hold.

On the other hand, some analysts believe things may be different this time, especially if this is Fed Chairman Powell’s last meeting, which could push the market into a short-lived wave of gains known as the “farewell rally.”

Some other analyzes also suggest that the market is undergoing a period of consolidation or limited decline towards the $75,000 level before emerging in a clear direction, with a breakout of the $80,000 level considered a prerequisite to confirm the continuation of the uptrend.

Overall, the Fed meeting remains the decisive factor in determining Bitcoin’s short-term trend, with expectations divided into bearish and cautiously optimistic.

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