BTC Price Could Fall to $90K with Traders Focusing on Fed Meeting

Bitcoin (BTC) fell below $95,000 on Monday, as traders shift their focus to the Federal Reserve’s upcoming policy meeting. With growing uncertainty in the market, some analysts predict a potential drop to $90,000 or lower. While the Fed is expected to keep rates unchanged on Wednesday, investors are looking for signals regarding future rate cuts or shifts in economic policy.

The recent pullback follows an impressive two-week rally where Bitcoin briefly touched $98,000, sparking interest from both retail and institutional investors. However, concerns about technical resistance and broader macroeconomic factors are beginning to weigh on the market.

Technical Resistance and Bearish Forecasts

“We are encountering a crucial resistance zone that once acted as support between December and February,” said Alex Kuptsikevich, an analyst at FxPro, in an email to CoinDesk. He noted that the next downside targets for Bitcoin are $92,500 and $89,000, with the $90,000 level acting as a critical threshold. A break below this key support, he explained, could push Bitcoin below its 200-day moving average, adding further selling pressure.

Market Focus on Fed and Trade Negotiations

Global economic factors are also influencing Bitcoin’s price movement. Traders are keeping a close watch on the outcome of U.S.-China trade talks, as any escalation in tariffs could reignite inflationary pressures and impact investor sentiment.

While the Federal Reserve is widely expected to leave interest rates unchanged on Wednesday, market participants are keenly anticipating any insights on future policy changes. “Solid economic data and hopes for easing trade tensions have helped the market recover from the post-Liberation Day selloff,” said QCP Capital in a morning brief. However, they warned that the Fed’s decision on rate cuts and the political pressures surrounding trade talks remain key factors for Bitcoin’s outlook.

Spot Bitcoin ETFs See Strong Inflows Despite Price Pullback

Despite Bitcoin’s recent price dip, spot Bitcoin ETFs continue to attract substantial capital. According to SoSoValue, Bitcoin ETFs saw $1.81 billion in net inflows last week, signaling ongoing investor confidence in the cryptocurrency. On the other hand, on-chain data from Glassnode suggests that caution is warranted, as long-term Bitcoin holders (LTHs) have seen their unrealized gains rise to nearly 350%, a level that typically precedes significant profit-taking.

“As Bitcoin’s price nears the $99,900 mark, we’re likely to see increased selling pressure from LTHs,” Glassnode pointed out. This shift could intensify market volatility unless strong demand emerges to absorb the selling.

Meme Coins and Speculative Activity on the Rise

In addition to Bitcoin’s market movements, there has been a resurgence of interest in meme coins. Data from Santiment shows that discussions around meme coins have surged to a peak in 2025, indicating a shift in sentiment toward higher-risk, speculative assets. Despite the uptick in interest, however, not all meme coins have been able to maintain momentum. For instance, GORK, a meme coin linked to an AI chatbot parody account recently highlighted by Elon Musk, failed to sustain its gains, suggesting that celebrity-driven pumps may be losing their appeal.

As Bitcoin faces technical resistance and macroeconomic uncertainties, traders are closely monitoring the Federal Reserve’s meeting and developments in global trade. The next few days could be pivotal for the cryptocurrency market, with Bitcoin’s price potentially facing increased volatility.

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