He Bitcoin falls strongly and pierces US$60,000 this May 1 after having experienced its fourth halving at the end of April and plunges into a strong bearish rally just like Ethereum and the stablecoinswhich fall up to 5% in the last 24 hours, but some show good performance and begin to recover.
The leading cryptocurrency plummets 4.3% in the last 24 hours and is located in the US$57,500. Although during this Wednesday’s round It reached US$56,000, a minimum in two months. For its part, Ethereum gives 0.8% in the same time range and remains at the US$2,900.
The stablecoins, for their part, operate differently. Those that decrease the most are Toncoin (-4.8% in 24 hours), Binance (-3.2% in 24 hours) and Dogecoin (-2.9% in 24 hours) while those that recover are Solarium (+5.7% in 24 hours) and Cardano (+1.5% in 24 hours).
Bitcoin: what price could it reach in May?
Starting in February, when the BTC began its new bullish rally just like in 2021, the area close to US$56,000 behaved as a resistance-support area. Therefore, this is a psychologically strong price level, which the market will try to sustain. However, If the supply force predominates, the next brake could be between US$50,000 and US$52,000.
This projection, as reported cryptonewsis based on the fact that the market tends to repeat strong levels of the past in a pullback, and as already mentioned, US$56,000 is one of them. At that time it worked as the last support-resistance area prior to the rise to higher points, where BTC exceeded US$70,000.
Geoffrey Kendrickhead of foreign exchange and digital asset research at the bank Standard Chartered, said that “BTC’s proper break below $60,000 has reopened a path towards the $50,000-52,000 range.” In that sense, the specialist explained that the cryptocurrency ecosystem in the midst of a macro with persistent inflation (CPI) does not currently promote an increase.
And he predicted that this is not necessarily negative, since investors could “re-enter Bitcoin in the range of $50,000-52,000 or if the United States CPI on the 15th is friendly.”
Bitcoin shows similarities with the 2016 post-halving: what does this imply
The trader, Rekt Capitalhighlighted that “the 2016 cycle may be more similar to the 2024 cycle than we think”since as in that year, the currency experiences falls three weeks after the halving.
Therefore, it is expected that this period, which he calls the post-halving “danger zone”will extend for the next two weeks if it repeats its behavior from 2016. Then, expect the market to enter an upward stage as it had in the past after this event.
Meanwhile, the pseudonymous Spanish trader SantinoCrypto analyzes, for its part, that the market will enter a bearish phase of several weeks that could lead to BTC again at US$50,000. Furthermore, it places that level as the limit of the abyss based on technical analysis.
Source: Ambito
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