Bitcoin’s recent slip below $28,000 has investors on their toes, with many questioning where the world’s leading digital asset will land as we approach the end of May.
According to a recent article published by Finbold on Wednesday (10 May 2023), after opening May over the $29,000 mark, Bitcoin’s price slid, struggling to maintain around $27,500. This downward trend has left investors uncertain about the cryptocurrency’s future as it grapples with vital resistance levels.
Finbold refers to a CoinMarketCap survey in which 9,765 members, boasting an 82% historical accuracy rate, predict a significant drop in Bitcoin’s price by the end of May. If this forecast holds, Bitcoin’s price could average $24,753 by May 31, representing a decline of -10.35% or -$2,857 from the price at the time of writing.
Bitcoin currently trades at $27,192, with a 5.94% decline over the past week. Despite the dip, Bitcoin’s market capitalization remains substantial at $527 billion, underlining its dominance in the cryptocurrency market.
Finbold also highlights IntoTheBlock’s visual representation of Bitcoin purchases at specific price levels, revealing increased buying activity near the $30,000 mark. However, the analysis also points out a lack of robust buying support below the current price level until approximately $24,000.
Moreover, Finbold reports a decrease in the percentage of Bitcoin holders currently in profit, now at 62%. Finbold also points out that despite the dip, similar drops have occurred earlier this year and have proven short-lived due to increased buying pressure, suggesting that Bitcoin’s current state may yet see a turnaround.