Plunge

2024

Jerome Powell

Chair

Bitcoin

<p>The post <a href="https://coinpedia.org/news/crypto-market-turn-bearish-as-sell-in-may-and-go-away-got-real-bitcoin-to-fall-near-47k/">Crypto Market Turn Bearish As “Sell in May and Go Away, Got Real,” Bitcoin To Fall Near $47k&nbsp;</a> appeared first on <a href="https://coinpedia.org">Coinpedia Fintech News</a></p> 
<p>The cryptocurrency market experienced a significant downturn on May 1, with Bitcoin and other digital assets plunging in value. Bitcoin’s price <a href="https://markets.coinpedia.org/bitcoin/?_gl=1*1h7jd8k*_ga*MTI5ODg2MTkxNi4xNzE0MjExNzE5*_ga_RE1GG3FGQW*MTcxNDQ1ODM3Ni4yLjEuMTcxNDUwMTM1Ni4yMC4wLjE3ODA4NzA3MDg.">dropped to as low as $56,552</a>, marking a 5.8% decline over 24 hours and a 13.3% decrease within the week as per Coinpedia news. Veteran trader Peter Brand predicts a potential drop in BTC price to as low as $47,000.</p> 
<h2 class="wp-block-heading" id="h-sell-in-may-and-go-away-strategy">Sell in May and Go Away Strategy</h2> 
<p>With the beginning of May, investors are adopting the “Sell in May and Go Away” strategy, a seasonal trading approach that originated in the stock market. This strategy involves selling assets after May 1 and repurchasing them after October 31.&nbsp;</p> 
<p>However, these concepts were earlier introduced in the 1970s by market strategist Alfred Fielding following his company’s bankruptcy in 1974.</p> 
<p>While this strategy has traditionally been more prevalent in the stock market, it has also influenced the cryptocurrency market in some years. Bitcoin prices have <a href="https://coinpedia.org/news/bitcoin-price-might-drop-to-this-level-before-initiating-bull-run/">historically followed a downward trend</a> in May during specific years, including 2013, 2015, 2018, 2021, 2022, and 2023.</p> 
<h2 class="wp-block-heading" id="h-here-s-why-crypto-price-collapsing-nbsp">Here’s Why Crypto Price Collapsing&nbsp;</h2> 
<p>The recent decline in the cryptocurrency market is somehow attributed to the “Sell in May and Go Away” strategy, <a href="https://coinpedia.org/news/crucial-week-ahead-for-crypto-market-what-you-need-to-know/">alongside other factors such as mounting</a> concerns over sustained high U.S. interest rates ahead of the Federal Reserve’s monetary policy decision on May 1.</p> 
<p>Investors are concerned that Fed Chair Jerome Powell may reduce the number of planned rate cuts for the year, indicating a more hawkish stance. Additionally, inflationary pressures indicated by recent PCE data and stagflation concerns following Q1 GDP growth of 1.6% have contributed to market uncertainty.&nbsp;</p> 
<p>Along with this, the U.S. dollar index (DXY) has risen to 106.45, nearing six-month highs, while the U.S. 10-year Treasury yield (US10Y) has increased to 4.688%, reflecting inflationary impacts on Bitcoin prices.</p> 
<h2 class="wp-block-heading" id="h-bitcoin-price-to-plunge-to-47k-49k">Bitcoin Price To Plunge To $47K – $49K</h2> 
<p>Crypto analysts have varying predictions for Bitcoin’s price trajectory. Michael van de Poppe anticipates a further decline to $56,000-58,000 before stabilization, emphasizing a 20% decrease from recent highs.&nbsp;</p> 
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   <p lang="en" dir="ltr"><a href="https://twitter.com/hashtag/Bitcoin?src=hash&amp;ref_src=twsrc%5Etfw">#Bitcoin</a> is at the end of the correction.<br><br>It's already down 20% from the highs and we'll have some more downside to happen from here.<br><br>If the correction continues, then I think the green zones between $56-58K are essential to watch.<a href="https://twitter.com/hashtag/Altcoins?src=hash&amp;ref_src=twsrc%5Etfw">#Altcoins</a> to bounce before. <a href="https://t.co/4Mu3NA1HSg">pic.twitter.com/4Mu3NA1HSg</a></p>— Michaël van de Poppe (@CryptoMichNL) <a href="https://twitter.com/CryptoMichNL/status/1785564391141757222?ref_src=twsrc%5Etfw">May 1, 2024</a>
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<p>On the other hand, veteran trader Peter Brand predicts a more substantial decline to $47,000-49,000, pointing to bearish chart patterns and a potential longer-term correction.</p> 
<p>Despite short-term fluctuations and market challenges, the overall sentiment surrounding <a href="https://coinpedia.org/news/top-crypto-trader-predicts-bullish-rally-for-bitcoin-citing-repeating-historical-pattern/">Bitcoin and cryptocurrencies remains positive</a>, buoyed by ongoing institutional adoption and increasing mainstream acceptance.&nbsp;</p>

Crypto Market Turn Bearish As “Sell in May and Go Away, Got Real,” Bitcoin To Fall Near $47k

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