Bitcoin (BTC) bulls are holding strong around the $94,500 level as the market awaits the Federal Open Market Committee (FOMC) meeting on May 7.

Bitcoin analyst Axel Adler Jr. noted BTC's price strength and pointed out a bullish cluster of long positions forming around $94,400 in the futures market.

Data from derivatives markets shows that Bitcoin (BTC) bulls are holding strong around the $94,500 level as the market prepares for the Federal Open Market Committee (FOMC) meeting on May 7.

Bitcoin bulls open margin long positions at $94,400

Highlighting BTC’s price strength, derivatives market analyst Axel Adler Jr. pointed out a bullish cluster of long positions forming around $94,400 in the futures market. A similar cluster was observed at the end of April, which pushed BTC prices to $97,500.

Similarly, Bitcoin futures open interest (OI) exhibited a swift increase of 2,000 BTC, i.e., roughly $189 million, over the past few hours. A rise in OI and a 15% increase in aggregated volume imply consistent buying pressure despite the price drop.

The aggregated funding rate remains near neutral, indicating balanced sentiment between longs and shorts over the past eight hours. However, funding rates have fluctuated, with brief spikes to 0.018% on May 6, suggesting optimism among leveraged traders.

Bitcoin momentum tends to slow before FOMC

Meanwhile, investing management firm Swissblock revealed that Bitcoin's momentum usually slowed down before the last five interest rate decisions, followed by a sharp increase in price volatility. In an analysis on X, the firm presented a chart tracking Bitcoin’s 25-day rate of change (ROC) from October 2024 to May 2025.

Bitcoin’s price steadily climbed in the charts whenever the ROC trended up or went positive. It was mainly observed during October-November 2024, and recently in April 2025.

Consequently, when the ROC tapers off, BTC corrects, an outcome observed in January-February 2025. Recent data indicates that the ROC remains on an uptrend in May 2025, which increases the possibility of a price gain for Bitcoin.

Swissblock highlighted that the FOMC meeting is a potential catalyst for Bitcoin’s next move, saying that the rate decision and Federal Reserve Chair Jerome Powell’s tone could spark volatility in financial markets.

"The FOMC meeting could be a key catalyst for Bitcoin's next move. Not only will the interest rate decision itself be closely watched by traders, but also the tone of Chair Powell's press conference could have implications for financial markets and, in turn, for Bitcoin's price trajectory," Swissblock stated.