The first decentralized cryptocurrency, Bitcoin Price, dropped 6.04% to $59,541 before the May 1 FOMC meeting, sparking potential rebound hopes amid rising “buy the dip” sentiments.
Analyst Ali Martinez noted a pattern, Bitcoin’s price bounces back when it hits the 100-day EMA with an RSI of around 36, as seen in late January. However, Martinez warns of a downward trend if Bitcoin stays below the 100-day EMA, possibly heading to the $52,000 level.
Despite a dip below $59,000, Bitcoin quickly recovered above $60,000. On-chain analytics firm Santiment attributes this drop to US inflation concerns, accompanied by increased “buy the dip” calls.
Smaller cryptocurrencies suffered an even deeper correction, with altcoin SOL, dogecoin (DOGE), avalanche (AVAX) lower by 35%–40% this month.
April was tough for Bitcoin, dropping 16%, the worst since November 2022. The debut of Bitcoin and Ether ETFs in Hong Kong didn’t create the expected buzz, with $12.7 million in trading volume compared to US launches’ $4.6 billion in January.
Bitcoin’s resilience in rebounding from market dips and its ongoing popularity despite external factors like inflation concerns and ETF launches highlight its robustness as a leading cryptocurrency.
Also Read: Hong Kong Launches Bitcoin and Ethereum ETFs
