After the latest Federal Reserve rate hike, analysts are divided on where Bitcoin is headed next. Some market and on-chain data points to cooling demand, while others in the crypto community see reasons to stay bullish.

Fed Hikes Rates: What the Metrics Show

Tighter monetary policy usually makes traders more cautious on risk assets—and that’s showing up in crypto indicators. Several signals are pointing to a dip in interest for BTC. The data doesn’t reveal exact levels or how fast things are changing, but the big picture: local demand has softened.

Crypto Dan: Bear Market Comeback Looks Unlikely

Despite the headwinds, analyst Crypto Dan argues there’s little chance we’re heading back into a drawn-out bear market. He points to similarities between the current trend and previous market cycles, where drops of this size often signaled the end of bear phases, not just a quick bounce. One key metric he’s watching: the share of UTXOs currently underwater.

Mixed Signals and Uncertainty

The clash between macro factors like the Fed’s higher rates and some on-chain signals is fueling split opinions on Bitcoin’s near-term path. The market is weighing US monetary policy against network behavior, but there’s no clear direction for BTC in the short run.