Bitcoin price soars above $90,000 ahead of Fed meeting and Senate crypto vote
Bitcoin prices soared early on Wednesday, regaining the $90,000 level, as traders digested new macro signals and momentum around U.S. crypto regulation increased.
The move follows a sharp reversal from the weekend’s lows near $86,000, which saw Bitcoin price rise to an intraday high of $90,361, according to data from Bitcoin Magazine Pro.
All of this is happening as markets brace for the Federal Reserve’s first interest rate decision of the year later today, with Wednesday’s rate hold almost certainly priced into futures.
With the unemployment rate at 4.4%, traders are focused less on inflation and more on whether Chairman Jerome Powell is concerned about a weakening labor market.
A “neutral” Fed meeting could quickly turn bearish for cryptocurrencies if Chairman Powell leans toward the resilience of the job market and opposes short-term interest rate cuts.
Gold prices continue to hit record highs of over $5,300 an ounce, highlighting renewed demand for hard assets amid heightened currency uncertainty. Bitcoin appears to be benefiting from similar macro tailwinds, reversing the previous sense of caution that dominated trading after last weekend’s sell-off.
The intraday Bitcoin price rally unfolded yesterday as President Donald Trump spoke in Iowa and dismissed concerns about a weaker dollar, saying he was “not worried” about it and claiming the dollar was “doing well.”
Bitcoin Price: Senate Committee Scheduled to Vote on Cryptocurrency Market Structure Bill Tomorrow
This price increase comes at a pivotal moment for U.S. crypto policy. The Senate Agriculture Committee is scheduled to vote Thursday on a virtual currency market structure bill that would clarify regulatory jurisdiction over digital asset markets.
The price increase is expected to include several amendments, and lawmakers will ultimately decide whether to send the bill to the Senate floor, according to reports. Cryptocurrency in America.
Democratic support for the bill remains uncertain, but the lack of unrelated amendments widely seen as deal-breakers has raised hopes that the bill could move forward.
For market participants, the bill’s progress is a potential step toward long-sought regulatory clarity in the United States.
Bitcoin price trends reflect changes in its background. Buyers reasserted control of the trade after struggling to regain the $88,000 level for much of the past 24 hours amid ETF outflows, Federal Reserve uncertainty, and lingering technical bearish pressure.
At the time of publication, Bitcoin’s price was up about 2% in the past 24 hours, trading at $90,075, with daily trading volume of about $43 billion. The circulating supply of this asset is 19.98 million BTC out of a fixed maximum of 21 million BTC.
The article Bitcoin Price Jumps Over $90,000 Ahead of Fed Meeting, Senate Crypto Vote first appeared in Bitcoin Magazine and was written by Micah Zimmerman.
