According to @rovercrc, the cryptocurrency market rallied on positive institutional developments, with Bitcoin (BTC) surging over 3% to trade at $108,600. The rally was fueled by news of JPMorgan filing a trademark for digital asset services and asset manager Purpose planning to launch a spot XRP exchange-traded fund (ETF) in Canada, which also pushed XRP up by 6-7%. Despite the gains, Nansen research analyst Nicolai Søndergaard stated that Bitcoin is still leading the market and it is not yet an 'alt season.' Bitfinex analysts noted that recent aggressive selling resembles past capitulation events that often mark local bottoms, suggesting a potential recovery if BTC holds the $102,000-$103,000 support zone. However, signs of fatigue are appearing, with major altcoins like Dogecoin (DOGE), Ether (ETH), and XRP showing losses and nearing resistance levels, indicating potential profit-taking by traders ahead of the Federal Reserve meeting.

According to @AltcoinGordon, while Bitcoin (BTC) is experiencing a summer lull with declining volatility, this trend presents a cost-effective opportunity for traders. A recent note from NYDIG Research highlights that the decrease in both realized and implied volatility makes options strategies, such as buying calls for upside exposure or puts for downside protection, relatively inexpensive. NYDIG suggests that traders can position for directional moves ahead of key catalysts like upcoming SEC decisions. The market recently saw a rally, with BTC rising to $108,600, fueled by positive institutional news including a JPMorgan trademark application for digital asset services and the launch of a spot XRP ETF in Canada by Purpose. Despite strong performance from altcoins like XRP and Chainlink (LINK), Nansen research analyst Nicolai Søndergaard believes a true 'alt season' is not yet here, as BTC's performance remains the primary market trigger. Furthermore, Bitfinex analysts noted that recent aggressive selling and a spike in liquidations resemble past capitulation setups, suggesting a potential local bottom if BTC can hold the $102,000-$103,000 support zone. Traders are also closely watching the upcoming Federal Reserve meeting, as Swissblock analysts state that Fed Chair Powell's tone, not the rate decision itself, will likely drive market volatility.

According to @KobeissiLetter, market expectations for May's Core CPI have increased to 2.9%, as reported by @Kalshi. This signals the first Core CPI inflation uptick since January 2025, just before the critical June Fed meeting. Traders are closely monitoring this economic data release, as higher-than-expected inflation could influence Federal Reserve rate decisions and result in increased crypto market volatility. With the CPI report acting as a key indicator for risk assets, crypto traders should be prepared for potential price swings following the official data release. Source: @KobeissiLetter, @Kalshi.

According to Mihir (@RhythmicAnalyst), market consensus and expert forecasts indicate no interest rate cut is expected from the Federal Reserve today, with most analysts pricing in a hold decision. Mihir notes a personal preference for a 0.25% rate cut, but this is not reflected in current market expectations (source: Twitter, May 7, 2025). For crypto traders, a rate hold may maintain current levels of dollar strength and liquidity, potentially limiting upside momentum for Bitcoin and altcoins in the short term. Traders should watch for any unexpected dovish signals from the Fed, as an unexpected cut could trigger a rapid risk-on rally in major cryptocurrencies.

According to Michaël van de Poppe (@CryptoMichNL), the current rally in gold reflects a persistent risk-off mentality among traders as the FED meeting approaches on Wednesday. He highlights that the upward trend in Services PMI is a positive macroeconomic indicator. For crypto traders, the ongoing build-up in Bitcoin suggests accumulation, and van de Poppe anticipates a potential upward move in Ethereum prices following the FED's decision (Source: Twitter/@CryptoMichNL, May 5, 2025). Traders should monitor volatility around the FED meeting, as both traditional and crypto markets may react sharply to policy updates.

According to Michaël van de Poppe, Bitcoin ($BTC) experienced a significant daily candle, indicating potential upward momentum. This trajectory, however, is contingent upon the outcome of the upcoming FED meeting. Van de Poppe suggests that while a rate cut is not anticipated by the markets, such a move could notably boost altcoin strength. This analysis highlights the importance of the FED's monetary policy decisions on cryptocurrency trading dynamics.

According to CryptoMichNL, Bitcoin is currently consolidating, and although it hasn't reached the desired highs, a price range of $64-65K is considered possible. If Bitcoin reaches this range, it presents an ultimate buy-the-dip opportunity. This is seen as the final correction before a potential run towards a new all-time high around the time of the upcoming elections or the next Federal Reserve meeting.