Bitcoin Price Analysis: Thursday Surge Amidst Economic Uncertainty

Crypto markets rebounded on Thursday, with Bitcoin up 2% to nearly $84,500 and Solana leading gains at 6%. The recovery follows statements from Fed Chair Jerome Powell on rate cuts, generating concerns over stagflation. Price analyses for Ethereum, XRP, and Solana reveal significant volatility and consolidation trends. Continued trader scrutiny is directed at tariff impacts and corporate earnings.

On Thursday, cryptocurrency markets saw a notable recovery following a brief sell-off, primarily led by Bitcoin’s 2% increase. Bitcoin reached just under $84,500, while Solana surged by 6%, outperforming its counterparts. Other cryptocurrencies, including Ethereum and XRP, also gained traction, showing price increases ranging from 1% to 3%. In contrast, Hyperliquid’s HYPE saw an impressive rise of 8.5%, while Celestia’s TIA faced a decline of 4% due to selling pressure.

Comments from Fed Chair Jerome Powell highlighted the Fed’s hesitance to implement early rate cuts as it assesses the effects of newly imposed U.S. tariffs. This uncertainty contributes to the anticipation of stagflation—an economic condition of stagnant growth coupled with high inflation reminiscent of the 1970s. According to Jeff Mei, COO at BTSE, the expectation is for Bitcoin trading to remain steady in the $80,000 to $90,000 range until there is clarity on tariff developments and interest rates.

Furthermore, Augustine Fan, head of insights at SignalPlus, noted the disappointment among market doves following Powell’s remarks, which emphasised a protective stance against rising prices due to tariffs. Despite this, there is a constructive technical outlook for Bitcoin as long as it holds above the $81,000 mark, with market attention shifting toward forthcoming corporate earnings and trade deal details.

In more detailed price analyses, Solana’s recent 14.5% surge from $119.58 to $136.01 has encountered a correction, with resistance forming near $136 and support around $126-$127. The price action suggests a consolidation phase could lead to potential downside movements below the $125.67 mark.

For XRP, recent price swings indicate possible high volatility, with current support levels established at $2.08-$2.10 and resistance at $2.18-$2.24. The fluctuations, alongside a bearish reversal pattern, suggest caution for bulls if XRP retraces below key levels.

Ether (ETH) has experienced a significant overall price movement, with ranges showcasing volatility up to 7.8%. Following its peak, Ether formed a double top before declining, indicating strong selling pressure as evidenced by high trading volumes during this selloff. The immediate resistance level is placed around the 50-hour moving average at $1,625, while support is consolidated at $1,585-$1,590.