Bitcoin lost $1,700 from its market value on May 1, dropping to $27,815, according to data from Coinmarketcap. This is coming less than a week after the premier digital currency dropped to $27,500 on April 26, showing a cycle of rapid drops that took many market watchers unawares.
The general coin market has received a hit as Bitcoin lost 4.2% of its value since the beginning of Monday, May 1. The top digital currency opened the day with a value of $29,439 but fell to an intra-day low of $27,691.
Within this period, the trading volume of the digital currency increased from $14.4 billion to $18.3 billion, as many investors seemed to panic and close their positions.
Bounced off the oversold region
Technical indicators show that BTC neared the oversold region, registering a Relative Strength Index that bounced off the 31.34 value. The brevity of the bounce close to the oversold region could indicate that the price of Bitcoin could test lower lows in the next few days.
A few analysts chose our viewpoint on TradingView. Here are some of them that sounded rather dramatic:
“It looks like the bear market is starting!” “It’s the last chance to sell Bitcoin and Ethereum before it’s too late.”
“In conclusion, the current state of Bitcoin’s price and indicators suggest both bullish and bearish scenarios.” “Traders should closely monitor key support and resistance levels as well as the strength of the various indicators to determine their next moves.”
Is the market recovering?
On a general note, the coin market seems to be recovering from the rapid Bitcoin loss on May 1. BTC is up by 1.7% in the last hour. On the 24-hour chart, this is 0.07% and 4.3% on the 7-day chart.
Ethereum is also in the green on the hourly, daily, and weekly charts. Other top coins are showing signs of an upswing. However, the top-performing asset among the top 100 is Cronos (CRO), which is up by 3.7% in the last 24 hours. On the 7-day chart, it has gained 11.5%.