Bitcoin and gold rise after Houthi strike

Markets eye Fed as Bitcoin holds firm

Bitcoin is trading around $97,500 as investors brace for the Federal Reserve’s latest policy decision. Gold is also up, with spot prices rising 0.7% to $3,357 per ounce.

The Fed is widely expected to hold rates steady at 4.25%–4.50%, but all eyes are on Chair Jerome Powell’s comments regarding inflation and potential rate cuts.

Analysts suggest geopolitical jitters are also fueling demand for safe-haven assets. In the Middle East, a Houthi missile strike near Tel Aviv injured eight and prompted Israeli airstrikes on targets in Yemen. The attack killed at least three.

Meanwhile, Trump has proposed new tariffs on pharmaceuticals and media imports, raising concerns about global supply chain instability.

Market commentator Nic Puckrin of The Coin Bureau said: “If the Fed surprises with dovish tones tomorrow and signals June rate cuts, Bitcoin could rally back to $100,000.”

Bitcoin remains roughly 10% below its January all-time high of $108,786.

Movement Labs fires founder over scandal

Ethereum layer-2 startup Movement Labs has fired co-founder Rushi Manche after a week of controversy involving market maker deals, governance breaches, and exchange delistings.

The company announced Manche’s termination on Wednesday via social media, followed moments later by news of a rebrand: Movement Labs will now operate under the name Move Industries. Director of Business Development Torab Torabi will take over as CEO, while longtime marketing lead Will Gaines will serve as President and CMO.

The turmoil stems from Manche’s alleged role in a shady arrangement with market maker Rentech, which sold 66 million MOVE tokens – roughly 5% of the total supply – shortly after the token launched last December. According to insiders, Movement’s legal counsel flagged concerns, but Manche allegedly pushed ahead with the deal regardless.

Adding to the fallout, Manche reportedly held roles in both Movement Labs and its nonprofit foundation, violating governance norms. Binance froze $38 million in Rentech-linked funds and removed the firm from its platform. Coinbase also moved to suspend MOVE trading by May 15. The token has since plunged to $0.16, down more than 34% in a week.

Move Industries has promised that all existing initiatives, including MoveDrop and DeFi Spring, will continue. A community AMA is scheduled for Friday.

Metaplanet buys more Bitcoin

Japanese firm Metaplanet Inc. has added another 555 BTC to its reserves, bringing its total holdings to 5,555 BTC – worth more than $482 million at current prices.

The $49.6 million purchase comes just ahead of a major U.S.–China trade summit in Switzerland, where Treasury Secretary Scott Bessent will meet Chinese Vice Premier He Lifeng. The talks mark the first formal engagement since President Trump reinstated sweeping tariffs, with some duties exceeding 140%.

China’s Ministry of Commerce warned it won’t tolerate “coercive and blackmailing tactics,” even as it acknowledged “repeated” U.S. efforts to resume negotiations. The Chinese embassy said the decision to return to talks reflects pressure from the global business community.

Back in Washington, confusion lingers. Trump claimed to have spoken with President Xi “many times,” but Bessent told reporters, “I have a lot of jobs around the White House; running the switchboard isn’t one of them.”

Metaplanet has financed its Bitcoin strategy through ¥35 billion in bond and equity issuance via EVO FUND. The company is also setting up a Florida-based subsidiary to raise an additional $250 million, aiming to tap U.S. capital markets more directly.

Canaan upgraded despite tough mining conditions

Benchmark has upgraded Bitcoin miner Canaan to a "buy" rating, setting a price target of $3 – up 400% from its current $0.60 valuation.

Analyst Mark Palmer said the Singapore-based firm stands out for its diversification efforts, including a pivot toward home mining rigs for individual users. Despite Bitcoin’s 2024 halving cutting block rewards to 3.125 BTC, Palmer believes Canaan’s focus on efficiency and innovation could yield strong returns.

This optimistic view contrasts with other analysts: Compass Point recently downgraded MARA Holdings to “sell,” citing falling hash rates and profitability pressures across the mining sector.

Canaan’s shares have dropped 21% in the past month, but Palmer noted its expanding self-mining and consumer strategies could help it weather ongoing industry headwinds.

Senate set for clash over stablecoin bill

Senate Republicans are pushing ahead with a vote on the GENIUS Act – short for the Guiding and Establishing National Innovation for U.S. Stablecoins Act – despite bipartisan resistance.

The bill would introduce licensing and reserve requirements for stablecoin issuers. It passed the Senate Banking Committee in March but now faces opposition from both sides. At least three GOP senators, along with nine Democrats, have voiced concerns over transparency and recent changes to the bill.

Tensions flared further Tuesday when House Democrats, led by Maxine Waters, walked out of a hearing to protest Trump’s alleged personal involvement in crypto ventures.

Despite lacking the 60 votes needed to bypass a filibuster, Republicans appear determined to hold the vote – possibly to pin the bill’s failure on Democrats ahead of the 2026 midterms.

Senator Bill Hagerty, the bill’s sponsor, said: “We have a choice here – move forward in a bipartisan way or show that crypto legislation remains a Republican-only issue.”