Bitcoin prices have remained tightly rangebound since their return above the psychological $60,000 level on May 3.
However, one prominent analyst sees the asset potentially recovering the $70,000 level this month, a price it has not seen since April 12.
BTC to Climb Higher?
On May 8, Adrian Zduńczyk, aka “crypto_birb,” told his 652,000 X followers that the potential target for Bitcoin prices in May is around $70,000.
The analyst said that we were in a bull market because the 200-week and 50-week moving average trends were rising.
$70k+ in May possible? https://t.co/yAj8hYJT0R
— Adrian Zduńczyk, CMT (@crypto_birb) May 8, 2024
Additionally, the 200-day moving average hit an all-time high this week of above $50,000. Bitcoin pioneer Anthony Pompliano observed this, saying:
“Don’t get lulled to sleep by Bitcoin going sideways. The long-term thesis is as strong as ever.”
Zduńczyk added that the technical indicator was now a support level at this price.
He said that market sentiment was still in the “greed” phase, according to the Fear and Greed Index, and mining costs had stalled.
Moreover, average gains in May in previous market cycles were around 15%. The month open at $60,600 implies an end-of-month estimated target of around $70,000, he concluded.
Fellow analyst and trader “Crypto Caesar” observed that there is an arguable case that Bitcoin is forming a large cup and handle pattern on the weekly timeframe.
“If Bitcoin can start to trend above ATH’s this summer, then I anticipate a strong rally to the upside and potentially a shorter cycle,” he added.
Earlier this week, the crypto exchange Bitfinex reported that some on-chain indicators suggested that selling pressure from short-term holders may be waning.
Moreover, former BitMEX CEO Arthur Hayes said that the local bottom had passed when BTC hit $56,800, and markets would remain rangebound between $60,000 and $70,000 until around August.
Crypto Market Outlook
Crypto markets dipped slightly, losing 1.4% to $2.42 trillion during the Wednesday trading session in Asia.
Bitcoin had fallen a similar percentage to $62,629 at the time of writing but remained sideways.
Ethereum had weakened further, dropping to just above $3,000, a crucial support level.
The altcoins were mostly in the red, with larger losses for Solana (SOL), Dogecoin (DOGE), and Avalanche (AVAX).
