Bitcoin price is holding at around $94,500 as traders enter long positions ahead of the Federal Reserve's interest rate decision on May 7. Recent data indicates a bullish sentiment, with Bitcoin futures showing a $189 million increase in open interest and a 15% rise in trading volume. Analysts, including Axel Adler Jr. and Michaël van de Poppe, suggest that Bitcoin could continue to see upward momentum, particularly if the tone from the Fed points to a favorable economic outlook. However, historical patterns show that Bitcoin's price tends to stall before FOMC meetings, followed by potential volatility after the announcements. An analysis by Swissblock suggests that when Bitcoin's 25-day rate of change trends upwards, price gains often follow. The upcoming FOMC meeting is seen as a potential catalyst for market movement, especially with funding rates indicating a balance between long and short traders. As Bitcoin continues to consolidate around the $94,500 level, traders are vigilant for cues from the Federal Reserve that could impact future price action.

Source 🔗