Bitcoin trades at $96,805, up 3.2%, driven by U.S.-China trade talks, upcoming Federal Reserve policy decisions, and substantial institutional investments. Key technical resistance is near $100,000. Analysts predict that Bitcoin could reach $250,000 by 2025 amid continued institutional adoption.
As of May 7, 2025, Bitcoin is showing a solid performance, trading at $96,805, up 3.2% in the last 24 hours. This surge reflects broader market optimism driven by several key factors that could send Bitcoin soaring past the $100,000 mark soon. Investors seem keen as they watch the indicators closely, hinting at a potential price rally.
One of the primary catalysts for this optimism is the renewed U.S.-China trade talks aimed at reducing ongoing trade tensions. U.S. Treasury Secretary Scott Bessent has shared insights suggesting current tariffs are unsustainable and that changes in policy could be on the horizon. This news has encouraged investors, contributing to a bullish sentiment in the market.
Another critical component is the anticipation surrounding the Federal Reserve’s upcoming policy decision. The FOMC is set to announce its decision today. Although interest rates are not expected to change, any hints of dovish sentiment could support Bitcoin’s price further, making many investors anxious for the announcement.
Institutional investments are making headlines, too. Recently, Japanese firm Metaplanet made waves by acquiring 555 BTC, worth about $53.5 million, increasing its total holdings to 5,555 BTC. Strategy, previously known as MicroStrategy, plans to raise a staggering $21 billion to invest further in Bitcoin, reinforcing its status as a key player in the market.
Looking at technical analysis, Bitcoin appears to be approaching a significant psychological resistance level of $100,000. However, on-chain data suggests there may be selling pressure around $99,900, which will test the strength of Bitcoin’s upward trajectory in the near future.
As for market metrics, Bitcoin’s current price stands at $96,805, with a trading volume around $33.93 billion and a market capitalization of approximately $1.92 trillion. The circulating supply of Bitcoin is about 19.86 million BTC, and it continues to trend toward its all-time high of $109,114.88, reached back in January 2025.
Analysts are optimistic about Bitcoin’s future, with projections estimating that it could reach as high as $250,000 by the end of 2025. The support for this forecast lies in trends of increased institutional adoption, along with promising macroeconomic conditions—trends that investors are keeping a close eye on.
In conclusion, Bitcoin’s recent price action above the $97,000 mark can be attributed to various positives including renewed U.S.-China trade relations, anticipation of Federal Reserve moves, and robust institutional investments. As the market keeps its focus on the FOMC’s signals, investors are eager to see how Bitcoin’s path develops in the coming days.
