Crypto Today: BTC price breaches $97.5K as FOMC sparks gains in SOL, Alpaca and SUI staking markets 

• Cryptocurrencies sector valuation posts mild 24-hours gains of 1% on Wednesday, prodding above $3.1 trillion for the first time this week. 

• BTC price crossed the $97,000 resistance, lifted by events surrounding the FOMC meetings. 

• As speculations around interest yield on USD-denominated assets intensify, staking yield protocols like SUI, Solana and Alpaca gained traction.  

• SUI has attracted over $1.7 billion in 24-hour trading volume outpacing higher-ranked assets including DOGE, BNB and Cardano.

Cryptocurrencies sector valuation posts mild 24-hours gains of 1% on Wednesday, breaking past the $3.1 trillion for the first time this week, according to Coingecko data. The US Federal Reserve dominated newsreels with a third consecutive rate pause accompanied by hawkish-leaning meeting notes. 

An overview of directional flows of capital on Wednesday signals crypto investors leaning towards projects offering staking yield as market brace for another month of flat yield on risk-free USD instruments.

Bitcoin market updates: 

Bitcoin price rose as high as $97,500 on Monday, amid bullish reactions US Federal Reserve rate pause and China’ signalling intent to hold tariff talks with the US. 

Bitcoin ETFs flows, May 7, 2025 | Source: Farside

Farside data shows that after $85 million outflows on Tuesday, US Bitcoin ETF reacted positively to the rate decision, pulling over $105 million inflows before the close of trading on Wednesday. 

Chart of the day: US Fed holds rate paused at 4.5% boosting global markets sentiment

On Wednesday, the US Federal Reserve kept the funds rate at 4.25% - 4.50% for a third consecutive meeting.

While the pause matched market expectations, Fed Chair Jerome Powell expressed concerns that President Trump’s tariffs could drive up inflation, unemployment and slow economic growth. 

US Fed Announces third consecutive rate pause | TradingEconomics

With the Fed acknowledging growing the risks of higher unemployment, investors are now pricing in the prospects of imminent rate cuts in Q2.

This scenario could see more capital flow towards risk assets including BTC as the week progresses. 

Altcoin markets: Crypto traders scamper towards staking markets on Solana, SUI and Alpaca Finance 

As speculations around interest yield on USD-denominated assets intensify, altcoin markets saw a sharp rotation into staking-focused tokens, led by Solana, SUI, and Alpaca Finance  

As seen in the chart below, SUI has attracted over $1.7 billion in 24-hour trading volume outpacing higher-ranked assets including DOGE, BNB and Cardano.

Crypto market performance, May 8, 2025 | Source: Coingecko

Solana also posted mild gains, retesting the $150 price level while surpassing third-placed XRP $5 billion trading volume.

Meanwhile Alpaca Finance appeared on Coingecko's list of top gainers, recording a 58% price jump on the day. 

Zooming out, the global crypto market cap held steady at $3.1 trillion, with 24-hour volume at $86.3 billion. Ethereum edged down 0.3% to $1815.52.

Among other major tokens, BNB retraced 1% towards $600 after Standard Chartered's bullish prediction initially drove it to a weekly timeframe high of $607.

Cardano price also pulled back 1.3% to hit $0.67 after failing the breakout test at $0.70. 

With elevated trading volumes and Bitcoin price anchoring the market above the $3.1 trillion market capitalization, the pull backs seen in top altcoins could be interpreted as consolidation for the next leg-up. 

Ethereum activates Pectra upgrade with smart wallet support and staking improvements

Ethereum has successfully launched the Pectra upgrade on its mainnet, marking the network's most significant technical update since the Merge and Dencun.

The activation occurred at epoch 364032 on May 7, 2025, shortly after 6:00 a.m. ET.

The upgrade introduces multiple Ethereum Improvement Proposals (EIPs) focused on validator functionality, wallet usability, and Layer 2 scalability, including account abstraction and increased gas efficiency.

Crypto.com expands U.S. footprint with new Washington, D.C. regional office

Crypto.com has announced plans to open a new North America regional office in Washington, D.C., located near the White House.

The move is intended to strengthen the company’s engagement with US policymakers and regulators as it expands its presence in the American market.

The Washington office will serve as a hub for Crypto.com’s public and government affairs activities, reflecting the company’s strategic focus on navigating the evolving regulatory environment in the US.