Fluctuations are the order of the day in the cryptocurrency landscape, as the global crypto market tries to recover with an increase of approximately 2% in market capitalization to record 2.17 trillion. The value of Bitcoin (BTC) is still a hotly debated topic as it steadily decreases in price, despite the recently completed Bitcoin halving. Even though it is still the leading cryptocurrency dominating the market by 52.6%, there is the question of whether Bitcoin price will drop further or rise. Let’s delve into the details.

Bitcoin Price Current Market Performance

Bitcoin price is trading today at $57,756.7, which is an increase of 1.14% over the past day. However, it experienced a drop of 9.53% and 12.83% of the past week and month respectively.

As much as BTC has faced challenging times, it is still holding its position as the leading cryptocurrency, with a market capitalization of $1.14 billion, according to CoinMarketCap. The coin recorded $39.87 billion in trading volume, after increasing by 12.15% in the past 24 hours.

Despite facing challenges, the past performance of the entity demonstrates resilience, reaching a peak of $73,750.07 recently, now moving downwards by 21.53%.

Wil Bitcoin Price Drop or Increase in May?

Over the past three months, Bitcoin price has been trading between $60,000 and $70,000. However, during the recent market crash, BTC experienced a drop in value to land below the critical $60,000 market. To discern its potential trajectory, let’s scrutinize key technical indicators.

Moving averages offer insights into the prevailing market sentiment over different timeframes. Currently, exponential and simple moving averages across various intervals signal a predominantly bearish sentiment. The majority of moving averages are in the “sell” zone, indicating downward pressure on Bitcoin’s price.

Oscillators offer more detailed information, displaying the momentum and intensity of price changes. Even though indicators such as Commodity Channel Index (CCI) show it is a good time to buy, MACD level indicate a need to sell. The market’s uncertainty is evident as the Relative Strength Index (RSI) remains in a neutral position, showing neither overbought or oversold.

Pivot points act as possible levels of support and resistance derived from past price information. Fibonacci retracement levels specifically point out important levels to focus on. The Fibonacci levels of support range from $36,769 to $55,534, and the levels of resistance range from $55,534 to $69,222. These levels can either hinder or propel Bitcoin’s price fluctuations.

Despite the prevailing negative sentiment, specific factors have the potential to influence the outcome in either direction. Changes in market sentiment, regulations, and macroeconomic trends can quickly shift the direction of Bitcoin.

If the selling pressure continues, Bitcoin may break through lower support levels and possibly test Fibonacci retracement levels near $36,769. If negative sentiment persist, BTC may revisit its previous lows or even drop to new depths.

On the other hand, an increase in purchasing enthusiasm could push Bitcoin towards Fibonacci resistance levels, with the goal of exceeding the $70,000 mark again. Positive news triggers or increased institutional adoption may boost the rally.

Conclusion

Understanding Bitcoin’s price fluctuations requires being alert and flexible. Traders and investors should stay aware of changes in market dynamics and adapt their strategies as needed. Although technical analysis is important, it is crucial to also have a deep understanding of fundamental factors that influence the cryptocurrency market. As May continues, the future of Bitcoin remains uncertain, swinging between potential and unpredictability. It is yet to be determined if it will continue to drop lower or rise back up to reach previous peaks. One thing that can be guaranteed: the journey ahead will be just as unpredictable, presenting obstacles and possibilities for those courageous enough to navigate its turbulent waters.

The post Bitcoin Price: Will BTC Price Go Lower or Rise In May 2024? appeared first on CoinGape.

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Filed under: News - @ January 1, 1970 12:00 am