Fed Holds Interest Rates Steady: Powell's Latest Meeting BTC Impact

Fed Decision and Powell's Farewell Meeting

The US Federal Reserve (Fed) kept the federal funds rate steady at 3.50%-3.75% as fully expected by the markets; this decision, marking Jerome Powell's last meeting in the chairmanship seat, reflects the officials' efforts to balance resilient inflation pressures with slowing growth signals. In the policy statement, the bank emphasized that it will assess the timing of additional adjustments based on data flow, the evolution of the outlook, and the balance of risks. Four members dissented from the decision: Stephen Mirran wanted a 25 basis point cut, while Beth Hammack, Neel Kashkari, and Lorie Logan advocated removing the bias toward maintaining rates.

After Powell's term ends on May 15, the next meeting in June will likely be chaired by Kevin Warsh; Warsh passed the Senate Banking Committee on Wednesday. Treasury yields jumped higher, with the 10-year note rising 5 basis points to 4,40%, and the two-year up 9 basis points to 3,93%. While oil had sharply declined at the beginning of this month on hopes of a permanent peace between the US and Iran, WTI crude surged to around 105 dollars/barrel, approaching post-war highs. Elevated energy costs are feeding into inflation while also triggering economic slowdown, putting the Fed in a dilemma. Warsh may need to push through rate cuts with a tough fight against three hawkish dissenters.

BTC Price and Market Reaction

Bitcoin (BTC) is currently trading at 76.143,42 dollars on the BTC detailed analysis page, up 0,27% in the last 24 hours; US stocks experienced slight losses, with Nasdaq down 0,35%. The weight of hawkish voices indicates that the new chairman will face resistance in implementing easing policies; this reinforces the tightening tendency in the course of monetary policy.

BTC Technical Outlook and Support/Resistance Levels

RSI at 55.20 is in the neutral zone, trend sideways but Supertrend giving bearish signal. EMA 20: 75.524,10.

• Supports: S1 75.750 (Strong, %81), S2 71.950 (%78)
• Resistances: R1 79.423 (Very Strong, %85), R2 77.310 (%64)

Investors should be prepared for volatility in BTC futures; Fed hints could increase volatility. Cautious sentiment prevails in the sector.