As Bitcoin’s price hovered near the $73,500 zone over the weekend, its 3% downturn in May has turned heads among investors. With the monthly close approaching, market analysts warn that BTC seems poised to end May “in the red,” prompting questions about the next major market move.
Muted Market Over the Weekend
According to data from TradingView, Bitcoin remained largely subdued throughout the weekend, trading in a narrow band just below this year’s annual lows. Even though US stock markets hit new records, Bitcoin stayed aloof, showing little reaction to the upbeat sentiment. The recent temporary truce between the US and Iran did little to stir the crypto market either, as geopolitical tensions eased with minimal effect on prices.
US President Donald Trump spoke on the X platform, stating, “There’s no rush on the Iran deal,” a comment that seemed to keep investors on hold. Analysts note that, in the coming week, the focus will be firmly on the US labor market, with fresh economic data likely to inject volatility into crypto trading.
Economic Data Sets Key Thresholds for BTC
Looking ahead, market watchers will be tracking US economic indicators like the Manufacturing Purchasing Managers’ Index (PMI). Recent upward trends in the PMI index have offered Bitcoin some temporary breathing room. The key debate now centers on whether Bitcoin’s price will once again mirror global growth and risk sentiment in the days ahead.
Mini glossary: The PMI (Purchasing Managers’ Index) reflects the economic health of specific sectors via survey data from companies. Values above 50 indicate growth, while numbers below 50 signal contraction.
Bitwise’s head of European research, Andre Dragosch, commented, “If Bitcoin is still tracking growth and risk appetite, we should see an upward correction from here.”
Monthly Close and the Critical $73,000 Barrier
Figures from CoinGlass reveal that Bitcoin has slipped just over 3% since early May. While this retreat left traders unmoved, all eyes are now on whether the BTC/USD pair can close the month above the pivotal $73,000 threshold.
Seasoned analyst Rekt Capital stated, “Bitcoin’s retest of the $73,000 mark has been successful, despite recent volatility.”
Rekt Capital also observed that the weekly chart is currently showing a “W” pattern, signaling a potential strong bottom. Technically, Bitcoin has been trading near major support levels, and after several failed attempts in recent weeks, could be preparing to re-enter an upward trend.
Technical Outlook and Market Expectations
Daan Crypto Trades, a popular analyst, notes that Bitcoin is consolidating within the bull market support band, with both the 200-week simple moving average (MA) and exponential moving average (EMA) closing in on the current price level. Experts suggest these technical signals point to medium and long-term upside potential.
Cointelegraph reports that, on the CME Group’s Bitcoin futures, gaps that once influenced weekend price swings are closing thanks to near-continuous 24-hour trading. This reduction in gap effects may limit the likelihood of sudden price spikes, suggesting more stable short-term targets moving forward.
