How will the crypto market, which has started to be priced positively as of today, follow in May?
General view
The cryptocurrency market has experienced significant rises with the start of 2023. While Bitcoin has gained more than 65% since the beginning of the year, other altcoins, especially artificial intelligence projects, have gained significant momentum.
In April, this positive atmosphere made itself felt more and the leading cryptocurrency Bitcoin managed to rise above the level of 31 thousand dollars after months. The crypto market, which has undergone minor corrections in the past days, seems to continue its rise as of today. Bitcoin is priced above the $28,500 level with a 4.85% increase in the last 24 hours, while the leading altcoin Ethereum continues to be priced above the $1,800 region with an increase of 3.33%.
After the bank crises last month, there were significant increases in the price of Bitcoin. From here, many analysts said that investors see Bitcoin as a safe haven after bankruptcy banks. Today, with the large decline in First Republic Bank’s stocks, investors turned to Bitcoin again and there were increases in BTC price.
What Does the Santiment Data Say?
With less than a week left until May, let’s examine where the markets are heading and what awaits us in May through the data provided by Santiment.
Recent data from on-chain data provider Santiment reports that Bitcoin’s social dominance remains relatively high compared to other altcoins in the market. Usually, high social dominance for Bitcoin happens during market enthusiasm or fear. Therefore, in the light of these data, we should take into account that there is a possibility that prices may recover quickly. When we look at the market now, we see that the movements are in this direction.
What Is The Opinion Of The Analysts?
Michael Van de Poppe is one of the analysts who expect a rise in Bitcoin. In his last assessment, Poppe mentioned that Bitcoin is facing a healthy correction and as long as it stays above $25,300, it is likely to continue this rally towards $42,000.
However, he was among the experts who commented on the month of May at the crypto analysis company K33 Research. According to K33, when historical data is examined, Bitcoin price may reach a peak of $ 45 thousand on May 20. Stating that the current course is similar to the 2018-2019 bear market, the analysis company said that although the decline in 2018 is more severe than now, the similarity between the two is still remarkable. Comparing the two cycles, the company said that it is possible for Bitcoin to reach the level of $ 45 thousand in May.
We saw that the views of analysts were positive. However, withdrawal requests will be processed in Lido Finance, the largest pool of Ethereum locks opened in early May. In addition, the Fed will make its decision on interest rates on May 3. For this reason, although there is a possibility that there will be a process with some sellers at the beginning of May, the general outlook is positive.
