Bitcoin Price Sweeps Lows Despite $30K and $25K Targets
- Bitcoin (BTC) fought for $28,000 support on May 2 after the month opened to multiday lows.
- Market participants’ BTC price targets reflected the mood with a rematch between $25K and $30K still on the table.
- Little was left to imagination regarding the Fed event, with market sentiment beyond crypto pricing in an almost guaranteed 0.25% rate hike.
Bitcoin Price Sweeps Lows
On May 2, Bitcoin (BTC) fought for $28,000 support after the month opened to multiday lows. Data from Cointelegraph Markets Pro and TradingView followed BTC/USD as it returned to the $28,000 mark on Bitstamp. The previous day’s Wall Street open had brought the latest wave of downside volatility, with the pair dipping below $27,700. This followed a leg lower immediately after the weekly and monthly close, with $30,000 and upward feeling increasingly out of reach.
Price Targets Reflect Mood
Market participants’ BTC price targets reflected the mood. Michaël van de Poppe, founder and CEO of trading firm Eight argued that a rematch between both $25K and $30K was still on the table. “Nothing is for certain,” he tweeted about the latest lows but added that breaking through $28.4K could lead back up to $30K in a few days if not folding coming days would mean heading towards 25K next due to big volatility being on horizon. Referring to upcoming Federal Reserve decision on interest rate policy Van de Poppe added that Bitcoin is being in sideways territory where bears and bulls have arguments for both biases adding fear amongst investors going into this event which may be unwarranted but yet to be seen.
US Banking Sector Fails To Inspire Crypto
In terms of Fed event itself little was left to imagination with market sentiment beyond crypto pricing in an almost guaranteed 0.25% rate hike according to CME Group’s FedWatch Tool which stood at 97.4%. This would copy March’s Fed decision which was accompanied by trouble in United States banking sector when multiple local lenders shed value in environment strongly reminiscent of six weeks prior while Bitcoin appeared in no mood to capitalize on fallout from it despite chances arising from such situation given its innate correlation with traditional markets most notably stocks.
In conclusion BTC price sweeped lows with analysis predicting dive down towards 25k due big volatility expected due Federal Reserve meeting tomorrow with bitcoin caught between resurgent US banking crisis meanwhile US regional bank stocks were neutral today probably really showing how much bitcoin has been decoupled from traditional markets despite its innate correlation among them mostly stocks as it appears least affected by banking crisis events unfolding currently even though chances arise from such situations as well .