Daily Price Outlook

Today’s Bitcoin price stands at $27,117, with a trading volume of $15,859,928,095 in the last 24 hours. The view of Bitcoin mining as a heavily energy-consuming operation is set to change, along with the narrative that accompanies it. Bitcoin is on the path to achieving carbon neutrality as eco-friendly mining practices emerge and awareness increases.

Research indicates that greenhouse gas emissions from global Bitcoin mining have seen more than a 50% reduction over the past three years. In May 2020, Bitcoin mining resulted in emissions of 601 g/KWh, which decreased to 299 g/KWh by May 2023. The term “g/KWh” refers to the grams of CO2 emissions produced per kilowatt-hour of electricity. Lower g/KWh figures indicate cleaner energy production and reduced carbon emissions.

Furthermore, Bitcoin mining is nearing carbon neutrality and might even reach a point of being net carbon negative if current trends continue. Few blockchains, including Polygon and Solana, have achieved this in the past.

If Bitcoin accomplishes this, it will debunk the persistent misconception that “Bitcoin mining excessively consumes energy and harms the environment”. This notion was the main driver behind Elon Musk’s decision to halt Bitcoin payments at Tesla, triggering a market crash in May 2021.

A legislative effort in Texas aimed at limiting the participation of Bitcoin miners in industries that help conserve grid costs failed to advance past a committee in the state House of Representatives earlier this week.

The program incentivizes miners to halt their operations whenever there’s a surge in power grid demand. The proposed bill would have ceased these tax incentives while restricting miner involvement to a mere 10%.

Bitcoin miners are currently rebuilding their reserves after a sharp decrease that started in May last year and continued throughout 2022. The miners are utilizing a portion of their remaining assets to sustain their operations. Over the last month and a half, miners have sold approximately $5 billion worth of Bitcoin from their reserves to support their mining activities.

Despite experiencing losses and uncertain future profits from Bitcoin prices, the persistent increase in hash rate suggests that miners are continuing to run their equipment. They remain hopeful for potential future rewards, a wait that might take some time.

BTC/USD Price Chart – Source: Tradingview

BTC/USD – Technical Outlook

Bitcoin is currently facing significant selling pressure after breaking below the important $27,500 threshold, which previously served as a strong support for the cryptocurrency. The four-hour chart demonstrates not just a break of the 50% Fibonacci retracement level, but also a breach of the Alpha trend line, which further strengthens the bearish sentiment.

The appearance of a bearish engulfing candlestick pattern further solidifies the ongoing downward trend. Bitcoin has already reached the 61.8% Fibonacci retracement level at $27,250 and seems to be heading towards the next critical support at the 78.6% Fibonacci level, roughly around $26,950.

A successful rise above the $27,950 mark could potentially push Bitcoin’s price toward the next support zone at $26,500. A decisive break above the crucial level of $26,500 is likely to spark a bullish rally for Bitcoin’s price.

On the upside, we expect a resurgence of the previously breached resistance level around $27,300, followed by the next resistance at $27,500. Furthermore, if the positive trend continues, Bitcoin could potentially challenge the next resistance level at $28,000.

In conclusion, careful observation of the $27,500 level is vital as it acts as a key support zone, while also staying alert for potential rebound opportunities around the $26,500 level for Bitcoin.

Daily Price Outlook

• Bitcoin struggles at a crucial resistance level of $28,300, with technical indicators pointing towards an overbought market, suggesting a potential price correction.
• If Bitcoin can’t break through $28,300, shorting opportunities may arise, with targets set at $27,500 and even $27,000.
• A successful breach and close above $28,300 might motivate investors to go long, aiming for resistance levels at $29,000 and potentially $29,450.

In technical analysis, Bitcoin faces a significant hurdle at the $28,300 mark, emphasized by the four-hour ‘double tap’ pattern. The frequent candle closures below this point hint at buyer fatigue, suggesting a potential shift in market control to sellers.

Key technical indicators such as RSI and MACD are in the overbought zone, with RSI near 76.75 and MACD displaying extended histograms around 171. The wide gap between the 50-day EMA (approximately $27,000) and Bitcoin’s current market price (close to $28,000) suggests the market is overbought, signaling a potential price correction.

Investors might get a chance to short Bitcoin below $28,300, targeting $27,500 or even $27,000, if Bitcoin fails to surpass this level. Alternatively, breaking and closing above $28,300 could push investors to go long, aiming first for $29,000, then potentially higher near $29,450.

BTC/USD Price Chart – Source: Tradingview

BTC/USD - Trade Idea

Entry Price – Buy Above 27700

Stop Loss – 27000

Take Profit – 29000

Risk to Reward – 1 : 1.85

Profit & Loss Per Standard Lot = +$1300/ -$700

Profit & Loss Per Micro Lot = +$130/ -$70

Daily Price Outlook

Bitcoin is currently trading at $27,983.81 per BTC/USD, with a market capitalization of $542.52 billion USD. The daily trading volume stands at $15.97 billion. The recent release of US core Personal Consumption Expenditures (PCE) inflation data for April, which exceeded expectations, caused a decline in the price of bitcoin.

The asset briefly dropped below $26,400 as market participants reacted, leading to increased selling pressure. However, the price quickly rebounded to its pre-data level.

Market participants had anticipated interest rate cuts from the US Federal Reserve, but the higher-than-expected US core PCE inflation rate of 0.4% MoM and 4.7% YoY raised expectations of a potential interest rate hike.

The increased selling pressure is expected to delay Bitcoin’s ascent to its target of $30,000. Market conditions for risk assets are not as favorable as traders had anticipated, and further market events could intensify selling pressure on Bitcoin and Ethereum.

Currently, the price of bitcoin is falling, and the publication of US PCE inflation data has added to its volatility. BTC may find support at previous resistance levels of $26,348 and $26,220.

There has been a capital inflow into Bitcoin following the news of an agreement between Republican Kevin McCarthy and US President Joe Biden to raise the country’s debt ceiling. This development has led to a 2% price increase in Bitcoin today.

It aligns with former Wall Street trader Macrojack’s belief that Bitcoin is a valuable asset amid concerns about increased money printing by the Federal Reserve, which negatively impacts the USD but positively affects BTC due to their inverse trading relationship.

BTC/USD Price Chart – Source: Tradingview

BTC/USD – Technical Outlook

Bitcoin is currently facing a significant obstacle at the $28,300 level, which is highlighted by the ‘double tap’ pattern observed on the four-hour timeframe. The repeated candle closures below this level indicate exhaustion among buyers and suggest a possible shift in market control towards sellers.

Key technical indicators, such as the RSI and MACD, are signaling overbought conditions, with the RSI hovering around 76.75 and the MACD showing extended histograms at around 171. Additionally, there is a notable divergence between the 50-day exponential moving average (EMA) at approximately $27,000 and the current market price of Bitcoin, which is close to $28,000. This divergence suggests an overbought market and implies the potential for a price correction.

If Bitcoin fails to break the $28,300 level, there may be an opportunity for investors to short Bitcoin below $28,300, targeting price levels of $27,500 or even $27,000. On the other hand, a successful breach and close above $28,300 could prompt investors to take a long position, with an initial target set at $29,000, and potentially higher towards $29,450.

Daily Price Outlook

Bitcoin is currently trading at $26,425.15 per bitcoin (BTC/USD) with a market capitalization of $512.22 billion. The daily trading volume stands at $13.05 billion.

The price of Bitcoin is facing challenges in surpassing the $27,000 mark, as miners have been selling 1,000 BTC worth approximately $27 million. This bearish sentiment not only impacts Bitcoin’s price but also affects other cryptocurrencies. While concerns about the US debt ceiling persist, the stock market seems unaffected.

Bitcoin’s price has experienced a 3% decline over the past 24 hours, remaining below the $26,000 threshold. To prevent further losses or sustain their operations, miners have resorted to selling their reserves. Approximately 1,000 BTC was sold in a 24-hour period, totaling around $27 million.

The US debt ceiling plays a significant role in hindering the recovery of cryptocurrency prices. The market is apprehensive about the possibility of default, even as the Biden administration and Republicans strive to find a resolution.

On May 25, however, this fear appeared to have diminished as the stock market showed positive growth. Unless a crucial support level holds, Bitcoin’s price is expected to decline further.

BTC/USD Price Chart – Source: Tradingview

BTC/USD – Technical Outlook

On Friday, Bitcoin, the leading cryptocurrency, exhibited a downward trajectory based on trading data from the UK market, failing to surpass the resistance level of 26,600 within the two-hour timeframe. The presence of doji and spinning top candles near the 26,600 threshold indicates a possible exhaustion of bullish momentum and a potential shift towards bearish sentiment.

As a result, Bitcoin’s immediate support is anticipated around the 26,000 level, and a breach below this level could steer the price towards the subsequent support level at 25,800.

Upon analyzing key technical indicators such as the Relative Strength Index (RSI) and the Moving Average Convergence Divergence (MACD), conflicting signals are observed. The RSI suggests a sell zone, while the MACD resides in a buying zone, displaying divergence.

Hence, it may be prudent to adopt a cautious approach and wait for additional Bitcoin candle closures below the 26,600 level before considering a sell position.

Alternatively, if Bitcoin successfully surpasses the 26,600 level, it has the potential to target the next objective at 27,000 or potentially even higher, around 27,400. Therefore, the suggested strategy for today is to seek a sell position below 26,600, with a take-profit target around the 26,000 level.

Daily Price Outlook

• Bitcoin sees a downturn as it fails to breach the 26,600 resistance level.
• Technical indicators show divergence; RSI signals a sell zone, while MACD indicates a buy zone.
• Strategy for the day involves looking for a sell position below 26,600 with a take-profit around 26,000.

On Friday, the leading cryptocurrency Bitcoin displayed a downward trend based on British trading data, following its failure to breach the resistance level of 26,600, as observable on the two-hour timeframe. The closing of doji and spinning top candles beneath the 26,600 mark suggests the exhaustion of bulls and potential takeover by sellers.

Consequently, Bitcoin’s immediate support is projected around the 26,000 level, and a break below this threshold could steer the Bitcoin price toward the next support level at 25,800.

Upon examining the prominent technical indicators, namely the Relative Strength Index (RSI) and the Moving Average Convergence Divergence (MACD), we note mixed signals. The RSI is indicating a sell zone, whereas the MACD rests in a buying zone, thereby displaying divergence.

This suggests a wait-and-watch approach may be necessary, requiring additional Bitcoin candle closings under the 26,600 level before considering a sell position.

Conversely, if Bitcoin breaks through the 26,600 level, it has the potential to aim for the next target of 27,000 or even higher, possibly up to 27,400. Hence, the strategy for today is to look for a sell position below 26,600, with a take-profit around the 26,000 level.

BTC/USD Price Chart – Source: Tradingview

BTC/USD - Trade Idea

Entry Price – Sell Below 26500

Stop Loss – 26850

Take Profit – 25900

Risk to Reward – 1 : 1.7

Profit & Loss Per Standard Lot = +$600/ -$350

Profit & Loss Per Micro Lot = +$600/ -$35

Daily Price Outlook

According to CoinMarketCap, the price of Bitcoin experienced a 2.19 percent decline over the past 24 hours, reaching $26,176.35. Institutional investors in the United States have been withdrawing from Bitcoin, unlike in Canada.

Despite the significant increase in the price of Bitcoin since March, investor interest in the cryptocurrency has been steadily decreasing. This has created an opportunity for institutional investors, who are major players in the cryptocurrency industry.

Cathie Woods, the founder of investment management company ARK Invest, expressed concerns about the fading momentum of Bitcoin, attributing it to the regulatory system in the United States. Additionally, Justin Chapman, the global head of digital assets and financial markets at Northern Trust, noted the decline in institutional interest in cryptocurrencies.

Institutional investors have been consistently selling Bitcoin for the past five weeks, with outflows totaling around $33 million in the week ending May 19 and a yearly total of $112 million. The release of the Federal Open Market Committee (FOMC) minutes by the US Federal Reserve did not provide much momentum for the Bitcoin price.

Traders should be prepared for a possible drop in the Bitcoin price, potentially to the $25,000 level or even down to $24,000, if the FOMC considers future interest rate hikes.

BTC/USD Price Chart – Source: Tradingview

BTC/USD – Technical Outlook

During the Asian session, the leading cryptocurrency Bitcoin has found support around the $25,800 level. The formation of a hammer pattern on the four-hour timeframe above the $25,800 level suggests a potential bullish reversal, indicating weakening bearish momentum.

However, Bitcoin faces resistance around the $26,600 level, which is reinforced by the 50-day exponential moving average. This level previously acted as support but now serves as a resistance after being violated. On the downside, if Bitcoin breaks below the $25,800 level, it could target the $25,500 level.

The RSI and MACD indicators are in the oversold zone, indicating the possibility of a minor bullish correction. Therefore, it is important to monitor the $25,800 level, as a break above it could lead to a slight bullish correction towards the $26,400 or $26,600 level.

Daily Price Outlook

• Bitcoin finds support around $25,800 during the Asian session.
• Hammer pattern formation suggests a potential bullish reversal.
• Resistance at $26,600, reinforced by the 50-day exponential moving average, acts as a barrier for Bitcoin’s upward movement.

During the Asian session, the leading cryptocurrency Bitcoin has found support around the $25,800 level. The formation of a hammer pattern on the four-hour timeframe above the $25,800 level suggests a potential bullish reversal, indicating weakening bearish momentum.

However, Bitcoin faces resistance around the $26,600 level, which is reinforced by the 50-day exponential moving average. This level previously acted as support but now serves as a resistance after being violated. On the downside, if Bitcoin breaks below the $25,800 level, it could target the $25,500 level.

The RSI and MACD indicators are in the oversold zone, indicating the possibility of a minor bullish correction. Therefore, it is important to monitor the $25,800 level, as a break above it could lead to a slight bullish correction towards the $26,400 or $26,600 level.

BTC/USD Price Chart – Source: Tradingview

BTC/USD - Trade Idea

Entry Price – Buy Above 25900

Stop Loss – 25644

Take Profit – 26616

Risk to Reward – 1 : 2.8

Profit & Loss Per Standard Lot = +$716/ -$256

Profit & Loss Per Micro Lot = +$71/ -$25

Daily Price Outlook

Following a bullish takeover in Tuesday’s trading session, the price of Bitcoin (BTC) has exhibited an upward movement. However, the 50-day exponential moving average (EMA) at $27,525 is currently acting as a resistance level for Bitcoin, which is currently priced at $27,291.

If the price manages to surpass the psychological barrier of $27,680 and solidify it as a support level, the odds of further gains will increase as more investors enter the market.

In an optimistic scenario, if purchasing pressure continues to rise above the aforementioned level, the price of Bitcoin could potentially reach the $28,571 resistance level, and in an even more positive outcome, it may climb to $30,441, representing a 10% increase from the current level.

The ongoing impasse over the US debt ceiling has raised concerns about its impact on the crypto market, as both Bitcoin and altcoin volumes have declined. The potential consequences of a debt default by the US government have instilled fear in the stock market, as the Biden administration strives to find a resolution with Congress.

If a debt default were to occur, a White House assessment predicts the loss of over 8 million jobs, which would have a detrimental effect on both traditional markets and the cryptocurrency market.

With the US accounting for 10% of global cryptocurrency users, approximately 45 million users out of the total 420 million would be affected, posing a significant risk as individuals facing unemployment may be compelled to sell their holdings prematurely.

As a result, the crypto market is currently experiencing low trading activity, with Bitcoin and Ethereum volumes reaching their second-lowest levels since September 2019, according to Sentiments observations.

BTC/USD Price Chart – Source: Tradingview

BTC/USD – Technical Outlook

Engulfing candles and a probable reversal signal are currently giving Bitcoin a negative outlook. The $26,600 price point is acting as support, with additional backing from a trendline. A closure over $26,600 would signal a positive trend and prevent a further drop to $26,500 or possibly $22,200; however, buyers should proceed with caution and wait for confirmation from numerous candle closes before acting.

If Bitcoin prices drop below the $27,000 support level, the existence of the 50-day exponential moving average will add to the gloomy attitude. A bearish market mood is indicated by a Relative Strength Index (RSI) of 37 and a Moving Average Convergence Divergence (MACD) of less than zero. It is vital to keep an eye on the $26,600 level, as a closing below it could signal further weakness. On the other hand, if the price manages to end the day above $26,600, bulls can consider opening long positions with $27,000 or perhaps $27,400 as their ultimate goal.

It’s important to keep an eye on $27,200, as a move above could meet resistance at $27,800.

Daily Price Outlook

    * Bitcoin shows bullish momentum, surpassing resistance levels at $27,000 to $27,200.

    * Technical indicators, including RSI and MACD, support a strong bullish bias.

    * Monitoring the $27,200 level for potential further upward movement in Bitcoin's price

On Tuesday, the popular cryptocurrency Bitcoin is experiencing a bullish surge, surpassing the resistance levels around $27,000 to $27,200. The four-hour timeframe shows a breakthrough of a symmetrical triangle pattern and a downward trend line, indicating a bullish momentum in the market.

Bitcoin's price is now aiming for the next resistance level at $27,650, and a successful breach of this level could lead to further upward movement towards $27,000 and $28,300.

In terms of technical indicators, both the Relative Strength Index (RSI) and Moving Average Convergence Divergence (MACD) support a strong bullish bias. The RSI has crossed above the 50 level, while the MACD has moved above the zero level.

Additionally, the 50-day exponential moving average is acting as a significant support around $26,800, providing further confidence in Bitcoin's bullish trend.

Given the positive technical indicators, it is advisable to monitor the $27,200 level as a breakout above this level could signify the continuation of Bitcoin's upward trend.

BTC/USD - Trade Idea

Entry Price – Buy Above 27215

Stop Loss – 26926

Take Profit – 27996

Risk to Reward – 1 : 2.6

Profit & Loss Per Standard Lot = +$781/ -$289

Profit & Loss Per Micro Lot = +$78/ -$28

Daily Price Outlook

The cryptocurrency market experienced a downturn today as investors expressed concerns over increased regulatory scrutiny and the ongoing debate regarding the debt ceiling. Bitcoin's price dropped to $26,970 on May 16, hitting a 7-day low and triggering fears of further decline.

Similarly, ether (ETH) faced a decline, falling to an intraday low of $1,804 on the same day, following its earlier rise above $2,100 after the Shapella upgrade. These downward movements occurred amidst a broader contraction in digital asset markets, with trading volumes surpassing $200 million.

The dip in cryptocurrency prices coincided with the response from SEC lawyers to Coinbase's objection, seeking clarification on the classification of tokens as securities. The SEC Chairman, Gary Gensler, reinforced the view that many crypto tokens are securities during the 27th annual Financial Markets Conference, highlighting concerns about non-compliance and mixing customer funds among certain business practices.

Furthermore, Democrats in the United States Congress are aiming to strengthen the SEC's authority over cryptocurrencies, potentially leading to a broader categorization of tokens as securities. Gensler emphasized that even network nodes would need to comply with securities regulations if they facilitate transactions involving securities.

In other news, President Joe Biden held discussions with Congressional leaders regarding the debt ceiling issue. Treasury Secretary Yellen previously warned that the Treasury could run out of funds to meet government debt obligations as early as June 1.

Although reaching an agreement before the deadline appears challenging, it is not entirely improbable. However, the ongoing negotiations are likely to introduce further volatility as both parties delineate their objectives while working toward a solution.

BTC/USD – Technical Outlook

During the Asian session, the price of Bitcoin is trading around the $27,000 level. On the two-hour timeframe, Bitcoin has formed a descending channel, providing support around the $26,850 level. Additionally, a double bottom pattern may act as a support level of around $26,750. This range can serve as a pivotal point for Bitcoin, as long as it remains above $26,750 and within the channel, suggesting the possibility of a bullish trend continuation.

They are in neutral territory when analyzing the RSI and MACD, both leading technical indicators. Bitcoin's price fluctuates above and below the 50-day exponential moving average, indicating mixed sentiment among investors. Thus, today's pivotal point will likely be at the $26,750 level.

If Bitcoin manages to hold above this level, it is advisable to consider buying positions with targets set at $27,250 and potentially $27,650. On the downside, a break below $26,750 could lead to a decline towards $26,200.

Related:

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    * GBP/USD Price Analysis – May 17, 2023

    * Bitcoin Price Analysis – May 11, 2023