Key Points
- Bitcoin’s value hovered around $66,000 on May 16 following a surge in risk-assets due to US macro data.
- Mixed reactions were received to this increase, with some suspecting the rise might be unsustainable.
Bitcoin’s value was around $66,000 on May 16, following a surge in risk-assets triggered by US macro data.
The price action of Bitcoin was closely watched as bulls attempted to consolidate the 7.5% gains from the previous day.
Market Reactions
The rise in Bitcoin’s value was met with mixed reactions. Some market observers pointed to the rapidly increasing open interest as one of several signs that Bitcoin‘s move might be unsustainable.
Credible Crypto, a popular trader, described the post-CPI conditions as what “we don’t want to see on a rise” in the price of Bitcoin. He further suggested that the 62-63k region is crucial to avoid a drop to 59-60k.
Future Predictions
On a more positive note, veteran trader Peter Brandt reiterated his belief in Bitcoin’s potential for long-term growth.
Michaël van de Poppe, founder and CEO of trading firm MNTrading, predicted a “calm upwards period” for Bitcoin, with altcoins potentially outperforming. He concluded that Bitcoin has held range low strongly at $60.5K and a calm, upwards period seems inevitable.
In a recent market update, trading firm QCP Capital anticipated a return to new all-time highs for Bitcoin. They expect bullish momentum that could take Bitcoin back to the highs of 74k, citing significant sovereign and institutional adoption, easing inflation and upcoming US elections as contributing factors.
