Bitcoin (BTC), which was higher than usual on May 30, saw early week gains that saw BTC/USD maintain $30,500.
BTC/USD 1-day candle chart (Bitstamp). Source: TradingView
Flagged lines in the sand at $32,000 and $35,000
Cointelegraph Markets Pro and TradingView data showed that the largest cryptocurrency was consolidating at $30,600 as of the writing of this article, after reaching highs of $30,000.00 on Bistamp.
Analysts were pleased with the best performance since May 16 and began to talk about the possibility of a range breakout.
Michael van de Poppe, a Cointelegraph contributor, told his Twitter followers that Bitcoin was finally making a run upwards.
“We need to consolidate more here before we can break higher in which $32.8K or $35K are the resistances. When the market reaches $35K, I expect everyone to become bullish.
Rekt Capital, a fellow trader and analyst, agreed that it would take at least $32,000 for the trend to change.
#BTC is enjoying a rebound from the very bottom of the Macro Range Low, after holding it as support for the past few weeks That said $BTC would need to break orange ~$32K resistance to enable a rally to ~$35K For the moment, not too meaningful a move, macro-wise#Bitcoin pic.twitter.com/tL7OpKOybm
— Rekt Capital (@rektcapital) May 30, 2022
Van de Poppe, however, highlighted the critical support needed now that the area is near the May 29 weekly closing.
The weekly close was disappointing and marked the ninth consecutive red candle for BTC/USD.
TXMC Trades, a trading account, was cautious about Bitcoin’s ability. The United States markets were closed for Memorial Day.
Despite the speed of the pump, it is still only range bound. LTF double top against resistance. Is #BTC able to break out of a clearly defined consolidation during a US market holiday without a catalyst. Although my base case says no, I have been wrong before. pic.twitter.com/0gjs6GXizc
— TXMC (@TXMCtrades) May 30, 2022
Stocks have a dim future
Markets will return on May 31. However, doubts remain about the true strength of their newfound strength. This was evident last week.
Related: “Mega bullish signal” or “real breakdown?” 5 things you should know about Bitcoin this week
Bitcoin was initially slow to respond, but its imitation gave weight to the notion that higher levels across risk assets could eventually prove to be a fraud.
Pentoshi, a trader and analyst, commented on the fortunes S&P 500. He said that he didn’t see much upside.
He said, alongside a chart showing the targets, “I think that we are approaching the upside being cap for SPX in Red Box after we got the beautiful swing low on week,”
“Very hesitant think this can sustain momentum (only gives Fed greater reason to tighten).
The U.S. dollar Index (DXY), which fell for yet another day, broke below 101.5 for only the second time since April.
U.S. dollar index (DXY) 1-day candle chart. Source: TradingViewcom. You should do your research before making any investment or trading decision.