Mixed economic data from the US has strengthened expectations that the Fed may lower interest rates in May, and this is seen as a positive development for Bitcoin (BTC).

Recent data released in the US economy has caused confusion in the markets. In the first quarter, the country's economy unexpectedly shrank by 0.3%, while the increase in private sector employment was only 62,000, which was well below expectations. This weak picture has increased the likelihood that the Federal Reserve may consider a rate cut at its May meeting.

The Personal Consumption Expenditures closely monitored by the Fed saw an annual increase of 2.3%, aligning with expectations, while the Core PCE, excluding energy and food prices, fell to 2.6%. Following the release of economic data, Bitcoin briefly dropped below $94,000, and a decrease of about 4% was observed across the market. Leading altcoins such as Ethereum (ETH) and Solana (SOL) were also affected by this decline.(