Bitcoin Dips Below $60,000 Mark After Two Months
The recent weeks have seen a downward trend in Bitcoin’s price, dropping below the $60,000 mark for the first time in two months. As of Friday, May 3, Bitcoin was trading at $57,690 on Indian exchanges, while on foreign exchanges, it stood at $59,790 with a 0.15% loss. This decline follows a significant spike in April, indicating a shift in the market dynamics.
Market Analysis and Trends
According to Edul Patel, CEO of Mudrex, the current price drop in Bitcoin reflects a buying activity at lower levels. However, the cryptocurrency has not yet regained enough momentum to make a substantial move, largely due to macroeconomic factors and geopolitical tensions. The resistance level for Bitcoin is at $60,300, with a support level at $58,800.
Ether, the second-largest cryptocurrency, experienced a mixed price movement, ending up on the losing side on Friday. At the time of reporting, ETH was priced at $2,907, registering a 1.85% loss. Patel noted that Ethereum witnessed a surge driven by strong spot Ethereum ETFs in Hong Kong and increased network activity. The next resistance levels for Ethereum are projected at $3,100 and $3,300.
Other cryptocurrencies like Tether, Solana, Cosmos, and Braintrust also faced losses, while altcoins such as Ripple, Dogecoin, Cardano, Shiba Inu, and Avalanche managed to secure minor profits on Friday. Additionally, Tron, Chainlink, Polygon, Near Protocol, Litecoin, Leo, Uniswap, and Cronos recorded profits on May 3.
Market Valuation and Predictions
Over the past 24 hours, the overall valuation of the crypto market increased by 3.46% to reach $2.23 trillion, as reported by CoinMarketCap. Despite spot BTC ETFs experiencing an outflow of $563 million on Wednesday, BlackRock anticipates a new wave of inflows from various investors, including sovereign wealth funds and pension funds. This expected influx is driven by a pent-up demand for Bitcoin exposure through ETFs.
Risk Disclaimer and Advisory
It is essential to note that cryptocurrencies are unregulated digital assets and are subject to market risks. The information provided in this article does not serve as financial or trading advice. Any investment decisions based on this information are at the individual’s discretion, and NDTV disclaims any responsibility for resulting losses.