Bitcoin Drops Ahead of Key Federal Reserve Decision as Volatility Looms

Bitcoin’s price has declined sharply just hours before the United States Federal Reserve announces its decision on interest rates, raising expectations of increased market volatility.

Former US President Donald Trump has continued to pressure Jerome Powell to lower rates, although such a move appears unlikely.

In the lead up to the announcement, Bitcoin lost roughly two thousand dollars within minutes, falling to a multi day low below 72,500 dollars.

This meeting marks one of the final Federal Open Market Committee sessions before Powell’s term ends on May 15.

What to expect from the Federal Reserve decision

Most analysts and forecasting platforms agree that interest rates will remain unchanged. Experts believe Powell is likely to maintain current policy due to ongoing uncertainty, especially as tensions in the Middle East continue to push global energy prices higher.

Economists from Morgan Stanley noted that the central issue facing the Fed is how to respond to rising oil prices. Meanwhile, analysts at UBS expect no shift in monetary policy. BeiChen Lin also shares this view but emphasized that any signals from Powell about future rate direction will be closely watched.

Trump has repeatedly called for rate cuts in recent months without success. A policy shift may have to wait until Powell is potentially replaced by Kevin Warsh in mid May.

Similar policy meetings are expected soon in the United Kingdom and the European Union, where market expectations also point toward no changes.

Bitcoin declines ahead of announcement

Bitcoin had been among the strongest performing assets since the conflict began on February 28, climbing from around 63,000 dollars to a recent high near 76,000 dollars. It managed to stay above 74,000 dollars for some time before the latest drop.

The decline saw the asset lose about two thousand dollars within roughly two hours. Bitcoin is known for reacting with sharp price swings during Powell’s remarks, and further volatility is expected even if interest rates remain unchanged.#crypto#cryptonews https://coinsignals.net https://t.me/coinsignalpublic

Analyst Says Bitcoin Dominance Break Will Determine Altcoin Direction

An analyst has cautioned that the next major move in Bitcoin dominance could determine whether altcoins surge or continue to decline.

Ethereum has gained about 22 percent over the past year, while Bitcoin has fallen by nearly 11 percent during the same period. This contrast is now becoming visible in market charts.

Bitcoin’s share of the total crypto market has been confined between 58 percent and 60 percent for the past six months. According to one expert, this range will play a crucial role in deciding whether Ethereum and other altcoins enter a bullish phase or face further downturns.

Because of this, the analyst advised closely monitoring any breakout from this range, as it could signal the next significant shift in the crypto market.

The tight range shaping the market’s direction

Bitcoin dominance, which reflects the portion of the total cryptocurrency market capitalization held by Bitcoin, has remained within the 58 percent to 60 percent band for half a year. Analyst Ash Crypto explained that this consolidation forms a technical setup where a move above 60 percent could push dominance toward 63 percent or even 64 percent.

Such a scenario would suggest that institutional investors are focusing mainly on Bitcoin, which could lead to continued declines in altcoins and drive the ETH to BTC ratio to new lows.#crypto#cryptonews https://coinsignals.net https://t.me/coinsignalpublic

Bitcoin Drops Ahead of Key Federal Reserve Decision as Market Braces for Volatility

With only hours remaining before the United States Federal Reserve announces its latest decision on interest rates, Bitcoin has fallen sharply, losing about 2,000 dollars within minutes and slipping to a multi day low below 72,500 dollars.

This meeting is one of the final gatherings of the Federal Open Market Committee before the end of the term of Fed Chair Jerome Powell, which concludes on May 15.

What Markets Expect From the Fed

Most analysts and forecasting platforms agree that interest rates are likely to remain unchanged. Current expectations suggest that Jerome Powell will maintain the existing policy stance, as ongoing tensions in the Middle East continue to fuel uncertainty and drive energy prices higher worldwide.

Economists at Morgan Stanley noted that the main challenge for policymakers is how to respond to rising oil prices. Meanwhile, experts from UBS also believe the Federal Reserve will stay consistent with its current approach.

BeiChen Lin from Russell Investments added that while no immediate changes are expected, any signals from Powell about the future direction of interest rates will be closely watched by markets.

At the same time, Donald Trump has continued to call for rate cuts, although those efforts have not led to any policy changes so far. A shift may only occur once his preferred candidate, Kevin Warsh, potentially takes over leadership of the Federal Reserve later in May.

Similar expectations exist for upcoming decisions by central banks in the United Kingdom and the European Union, where markets also anticipate no immediate changes to interest rates.

Bitcoin Pulls Back

Bitcoin had been one of the strongest performing assets since the start of the recent geopolitical tensions on February 28, climbing from around 63,000 dollars to a peak of 76,000 dollars reached the previous day. Although it failed to move higher, it managed to hold above 74,000 dollars until recently.

The latest drop saw the cryptocurrency lose value quickly, falling by roughly 2,000 dollars within a short period of time. Bitcoin has historically shown sharp price swings during speeches and announcements by Jerome Powell, and further volatility is expected as markets react to today’s decision, even if interest rates remain unchanged.#crypto#cryptonews https://coinsignals.net https://t.me/coinsignalpublic

SIREN Breaks Into Top 100 After 300 Percent Monthly Rally as Bitcoin Holds Near 74,000 Dollars

Apart from SIREN, the only other notable double digit gainers today are M and KAS.

Following recent volatility that pushed Bitcoin to a six week high of 76,000 dollars before pulling back, the asset has now stabilized around 74,000 dollars.

Most large cap altcoins are showing limited movement on a daily basis. However, Ethereum has managed to stay above the 2,300 dollar level, while XRP continues to trade above 1.50 dollars.

Bitcoin Holds Around 74,000 Dollars

The leading cryptocurrency began a strong upward move last week, reaching 74,000 dollars on Friday for the second time within ten days. However, sellers quickly stepped in and drove the price down by nearly 4,000 dollars toward 70,000 dollars. The decline was more pronounced on Saturday following renewed geopolitical tensions after a United States strike against Iran.

Despite this, Bitcoin remained above 70,000 dollars over the weekend. As the new week started, buyers regained control and pushed the price back toward 74,000 dollars. Although it initially faced resistance, Bitcoin eventually broke through that level on Tuesday morning.

This upward movement carried the asset to 76,000 dollars, its highest level since early February. However, the rally was short lived, and the price dropped to around 73,500 dollars later that day. Over the past several hours, price action has been relatively quiet, with Bitcoin moving sideways near 74,000 dollars.

Its total market value is now approximately 1.48 trillion dollars, while its dominance over the broader crypto market remains steady at 56.7 percent.

SIREN Climbs Into Top Rankings

Ethereum continues to hold above 2,300 dollars despite a slight daily decline. XRP is also marginally lower but remains above 1.50 dollars. Other major assets such as BNB, TRX, ADA, HYPE, and LINK have posted small gains, while SOL, DOGE, and BCH have recorded minor losses.

Among larger cap altcoins, XMR, CC, and SKY have seen the biggest declines, while ZEC has gained around 3 percent to reach 276 dollars. SIREN has now entered the top 100 cryptocurrencies by market capitalization after another strong daily increase, extending its monthly surge to roughly 300 percent. M and KAS have also posted gains of about 10 percent.

The total cryptocurrency market capitalization remains above 2.6 trillion dollars according to CoinGecko data.#crypto#cryptonews https://coinsignals.net https://t.me/coinsignalpublic

What the New SEC and CFTC Guidance Means for Your Crypto Holdings

For many years, the cryptocurrency industry has operated under significant regulatory uncertainty. Investors and developers often faced confusion about whether certain digital assets could suddenly be labeled as unregistered securities by the United States government. A notable example is Ripple and its XRP token, which was involved in a lengthy legal battle with the US Securities and Exchange Commission that lasted several years and created uncertainty for investors.

That period of ambiguity largely came to an end on March 17, when the SEC, alongside the Commodity Futures Trading Commission, released a landmark joint interpretation.

The central message, highlighted by SEC Chairman Paul Atkins, signals a major shift in approach. He stated that most crypto assets are not considered securities.

While this is a significant development, many investors are asking how it affects their portfolios, staking activities, and participation in token distributions.

Staking and Airdrops Explained Under the New Rules

Staking and airdrops are among the most common ways retail investors engage with crypto networks, but they have also existed in uncertain legal territory. The new guidance introduces clearer distinctions.

For staking, the regulatory treatment now depends on how it is structured. If an individual participates directly at the protocol level, such as locking tokens to help secure a blockchain like Ethereum and earning predefined rewards, this activity is generally not considered a security.

However, if staking is done through centralized services that pool user funds and promise returns based on their own management, regulators may still treat those offerings as investment contracts subject to securities laws.

Airdrops follow a similar logic. Tokens distributed freely to users without requiring an investment or promising profits are less likely to be classified as securities. In contrast, if a project promotes an airdrop as an investment opportunity with expected returns driven by a central team, it could attract regulatory scrutiny.

Clear Categories for Digital Assets

One of the most important aspects of the guidance is the introduction of a structured classification system for digital assets, helping resolve long standing jurisdictional confusion.

Digital commodities are assets primarily used as a medium of exchange or store of value and typically fall under the oversight of the CFTC.

Digital collectibles include unique items such as non fungible tokens.

Digital tools refer to utility tokens that provide access to software or blockchain networks.

Stablecoins are digital assets tied to traditional currencies.

Digital securities represent assets that function like traditional investment contracts or equity instruments.

By distinguishing between the asset itself and how it is used in transactions, regulators have provided a clearer framework for developers and companies to operate without constant uncertainty.

What This Means for Investors

For everyday crypto investors, this guidance significantly reduces regulatory risk. According to CFTC Chairman Michael Selig, the goal is to create an environment where the industry can grow under clear and consistent rules.

In practical terms, major alternative cryptocurrencies are now less likely to face sudden removal from United States exchanges due to unexpected legal challenges.

The development also supports deeper integration of digital assets into traditional finance. For example, companies like Mastercard have already partnered with firms such as Ripple and Binance to expand the use of crypto in mainstream financial systems.

Although the new guidance does not guarantee the success of any specific token, it removes a major layer of uncertainty that has weighed on crypto markets in the United States and beyond for years.#crypto#cryptonews https://coinsignals.net https://t.me/coinsignalpublic

Governance Platform Tally to Shut Down as Regulatory Landscape Evolves

The changing regulatory environment for cryptocurrencies in the United States is already having a tangible impact, even as many view the shift as a positive development for the industry.

Tally, a governance platform used by more than 500 decentralized autonomous organizations including Uniswap, Ethereum Name Service, and Arbitrum, has announced that it will shut down after operating for over five years.

In a video shared on X, Tally’s chief executive officer Dennison Bertram explained the reasoning behind the decision to wind down the company’s operations.

The announcement comes shortly after the US Securities and Exchange Commission and the Commodity Futures Trading Commission released joint guidance stating that most cryptocurrencies are not considered securities, a development that significantly reduces regulatory risk across the sector.

Under the previous administration, many crypto projects adopted decentralized autonomous organization structures to limit legal exposure. However, with a more relaxed regulatory approach now emerging, demand for DAO governance tools has declined, according to commentary from Wu Blockchain.

Tally confirmed that it will not launch an initial coin offering. Bertram added that plans are already in place to continue supporting the company’s enterprise clients, with the platform’s interface remaining available for them as needed.#crypto#cryptonews https://coinsignals.net https://t.me/coinsignalpublic

SEC Clarifies That Most Crypto Assets Are Not Classified as Securities

The United States Securities and Exchange Commission has addressed long standing uncertainty بشأن how crypto assets should be regulated.

On Tuesday, the SEC released an official interpretation explaining how federal securities laws apply to certain digital assets and cryptocurrency related transactions.

The agency described this move as a significant step toward providing clearer guidance on the regulatory treatment of crypto assets. It also noted that the clarification supports ongoing efforts in Congress to establish a comprehensive legal framework for the market.

The Commodity Futures Trading Commission joined in the interpretation, confirming that it will apply the Commodity Exchange Act to relevant crypto assets.

Majority of Crypto Assets Not Considered Securities

The interpretation introduces a classification system that divides digital assets into five groups, including digital commodities, digital collectibles, digital tools, stablecoins, and digital securities.

A key conclusion from the guidance is that most crypto assets do not fall under the definition of securities, which contrasts with the position held by the previous administration. SEC Chairman Paul Atkins stated that the update recognizes what had previously not been acknowledged, that the majority of crypto assets are not securities.

He added that after years of uncertainty, the new interpretation offers market participants a clearer understanding of how federal securities laws apply to crypto.

CFTC Chairman Michael Selig also emphasized the importance of the development, noting that innovators and entrepreneurs in the United States have long awaited clear regulatory direction. He said the new guidance marks the end of that uncertainty and reflects a commitment to creating a regulatory environment that supports growth in the crypto sector with well defined rules.

The interpretation also provides clarity on common crypto related activities that have existed in uncertain legal territory, such as airdrops, mining, staking, and asset wrapping.

Both regulators described the move as a bridge for entrepreneurs and investors while lawmakers continue working on broader bipartisan legislation to define market structure.

Market Shows Limited Reaction

Despite the positive regulatory development, the crypto market showed little response. Overall market activity declined by about 1 percent over the past 24 hours.

Bitcoin tested the 74,800 dollar level multiple times within a twelve hour period but was unable to break higher, later slipping to around 74,350 dollars.

Ether remained stable within a narrow range, trading near 2,333 dollars during Wednesday morning in Asia.

Performance among alternative cryptocurrencies was mixed, with gains seen in some assets while others recorded losses.#cryptonews#crypto https://coinsignals.net https://t.me/coinsignalpublic

Analyst Says Bitcoin ETF Investors Remain in Loss Despite Renewed Institutional Buying

Bitcoin reached 76,000 dollars on March 17, marking its highest level since early February, as institutional investors continued to channel funds into United States spot exchange traded funds. This extended a recovery phase that followed significant outflows recorded in February.

Despite the renewed demand, analyst Axel Adler Jr. noted a major limitation, pointing out that ETF investors are still carrying an average unrealized loss of about 5,174 dollars. He warned that this could influence price movement as Bitcoin approaches the 80,000 dollar level.

ETF Inflows Improve but Resistance Near 79,962 Dollars Remains Key

In his latest market update, Adler explained that Bitcoin ETF flows have completed what he described as a full cycle over the past month, shifting from heavy selling in mid February to a steady recovery in recent weeks. Between February 15 and 24, the seven day average of net ETF flows remained negative, reaching a low of approximately minus 1,883 Bitcoin per day on February 18.

Around February 25, the trend reversed, with flows turning positive and peaking at about 3,387 Bitcoin per day on March 2. Currently, the seven day average stands near 1,472 Bitcoin per day, while overall liquidity conditions have improved. During this period, total ETF holdings increased by roughly 26,600 Bitcoin, representing a little more than 2 percent growth.

Adler interprets this shift as a return of institutional demand following earlier withdrawals. However, he emphasized that this demand is still below a significant resistance level.

That resistance corresponds to the realized price of ETF investors, which he estimated at 79,962 dollars. This figure reflects the average purchase cost across all ETF participants. With Bitcoin trading slightly above 74,000 dollars after recently hitting a six week high, investors as a group remain at a paper loss of more than 5,000 dollars.

Adler described this gap as a critical structural factor in the current market. As Bitcoin approaches the realized price, more investors move closer to breaking even, increasing the likelihood of selling activity. As a result, he identified the 80,000 dollar range as a zone where upward momentum could slow unless demand is strong enough to absorb additional supply.

Market Faces Crucial Test at 80,000 Dollars

At the time of writing, data from CoinGecko showed Bitcoin gaining more than 5 percent over the past seven days, with similar growth over the last thirty days. The increase reached nearly 9 percent over a two week period. However, performance remains weaker on a yearly basis, with the asset down nearly 11 percent and still more than 41 percent below its all time high.

For now, Adler views the 80,000 dollar level as a decisive point for the market. He stated that a sustained move above 79,962 dollars, combined with consistent ETF inflows exceeding 2,000 Bitcoin per day, would indicate a meaningful shift in market conditions.#crypto#cryptonews https://coinsignals.net https://t.me/coinsignalpublic

Argentina Moves to Block Polymarket Nationwide Over Unauthorized Gambling Concerns

Argentina has taken steps to restrict access to the prediction market platform Polymarket after a court in Buenos Aires ruled that it was operating as an unapproved betting service.

In a decision delivered by Judge Susana Parada, authorities ordered a nationwide block of the website and instructed Google and Apple to either remove or limit access to the app on mobile devices.

Lack of Licensing and Oversight Raises Concerns

The action follows an investigation led by Prosecutor Juan Rozas, who handles gambling related cases in the city. As part of the enforcement process, the telecommunications regulator Ente Nacional de Comunicaciones has been tasked with ensuring that internet providers block access to the platform across the country.

Investigators found that Polymarket enabled users to trade on the outcomes of real world events without following established gambling regulations. According to prosecutors, accounts could be created quickly without proper identity or age verification, allowing unrestricted participation, including by minors.

They also noted that the platform supported payments through cryptocurrencies and credit cards without applying the safeguards required for regulated betting services. The case began after a complaint from the Lotería de la Ciudad de Buenos Aires, which accused the platform of offering services locally without authorization. Further checks with the Asociación de Loterías Estatales de Argentina confirmed that Polymarket does not hold a valid license in any jurisdiction.

The court’s ruling became public during a wider debate surrounding Argentina’s inflation data. Shortly before the national statistics agency INDEC released its February figures, probabilities on global prediction platforms had already shifted toward a higher outcome.

While analysts had projected inflation between 2.6 percent and 2.8 percent, the official figure came in at 2.9 percent. Trading activity on Polymarket related to this data rose to around 91,000 dollars in the minutes before the release, prompting speculation that the figures may have circulated ahead of time.

This situation reflects a broader pattern of increasing regulatory pressure on prediction market platforms. Companies such as Polymarket and Kalshi are facing scrutiny or legal challenges in several regions, including France, Germany, Italy, Australia, Singapore, Portugal, Hungary, Thailand, and the Netherlands.

Concerns Over Misuse of Sensitive Information

Earlier in the year, authorities in Israel charged a military reservist and a civilian for allegedly using classified intelligence to gain an advantage on the platform. A joint investigation by the Defense Ministry, Shin Bet, and national police indicated that confidential operational information may have been used to place highly confident bets on future military events.

Prosecutors filed serious charges including security breaches, bribery, and obstruction of justice, while a court order has restricted further public disclosure of details related to the case.#crypto#cryptonews https://t.me/coinsignalpublic https://coinsignals.net

Long Term Bitcoin Holders Remain Inactive as Declining CDD Multiple Signals Low Selling Pressure

A drop in the Coin Days Destroyed Multiple suggests that older Bitcoin holdings are largely inactive, indicating that long term investors are not selling and overall selling pressure remains limited.

Bitcoin briefly approached 76,000 dollars on Tuesday, reaching a level not seen in six weeks, despite ongoing global uncertainty as the conflict in the Middle East entered its third week.

Figures from Alphractal reveal that Bitcoin’s Coin Days Destroyed Multiple has declined to its lowest point since 2022, showing that older coins are moving very little.

Long Term Investors Continue Holding

Alphractal noted that this metric tracks the intensity of Coin Days Destroyed compared to its historical average, allowing analysts to evaluate whether long term holders are selling more or less actively.

Recent data indicates that older Bitcoin remains mostly untouched, highlighting consistent holding behavior among experienced investors.

The analysis also suggests that many of these holders had already sold portions of their assets at higher price levels, leaving the current market largely driven by newer circulating supply. The low reading of the metric further reflects reduced selling pressure from older holdings.

In past cycles, similar low levels have been linked to consolidation periods, where limited activity from long term holders often comes before major market moves.

At the same time, data from Santiment shows a strong increase in market optimism during Bitcoin’s recent price movement. Fear of missing out has climbed to its highest level since January 2, with social media activity this week showing a bullish to bearish comment ratio of 1.67 across platforms including X, Reddit, and Telegram. Positive sentiment has clearly outweighed negative views.

Additional data indicates that buyer activity is beginning to recover after significant selling in February. Despite rising geopolitical tensions and expectations that the Federal Reserve will keep interest rates unchanged at the upcoming FOMC meeting, CryptoQuant reports that Bitcoin has remained relatively resilient compared to traditional assets such as equities and commodities.

Buyers Gradually Regain Control

Data from Binance and Coinbase shows a gradual shift in trading volume toward buyers. On February 16, the 30 day average volume delta was strongly negative, standing at minus 145 million dollars on Binance and minus 88 million dollars on Coinbase, reflecting widespread selling from both retail and institutional participants. This has since turned positive, reaching approximately 21 million dollars and 14 million dollars respectively.

Although this marks a notable improvement, analysts caution that overall liquidity is still low, and the trend requires further confirmation before it can fully support a sustained price increase.#crypto#cryptonews https://t.me/coinsignalpublic https://coinsignals.net