Bitcoin’s trading price continues to hover around $62k, leaving little room for excitement among digital currency enthusiasts. Data reveals the value of Bitcoin began edging towards $62,000 during the Asia market session on May 8th, after a preceding rebound beyond $65,500. Despite such a 5% retracement, the closing of $62,300 on the same day has compelled market watchers to warn the cryptocurrency may risk losing more value.
Veteran market analyst J. A. Maartunn chimed in the discussion, cautioning that any sustained pause in activity, or a daily closing below $62,100 would act as an automatic stop-loss. Meanwhile, Michaël van de Poppe, founder and CEO of MNTrading, expresses dissatisfaction with the unremarkable movement since the Bitcoin block subsidy halving in mid-April.
He noted, however, that after Bitcoin tests its support levels, it could resume a gradual upward climb, echoing sentiments held by other traders who remain optimistic about an eventual sustained increase. According to them, such a trend is not unprecedented if one considers the cryptocurrency history’s post-halving setups.
However, a somewhat mixed portrayal of the crypto landscape has emerged following recent disruptions in the exchange-traded fund (ETF) sector. Grayscale, which oversees a new batch of spot Bitcoin ETFs in the United States, has withdrawn plans to launch an Ether futures ETF product. Additionally, after two days of inflows exceeding $500 million, it was observed that US-based Bitcoin ETFs experienced net outflows on May 7th.
Despite this, sources including UK-based investment firm Farside, confirmed outflows worth $15.7 million, as the Susquehanna investment firm revealed an ETF portfolio worth $1.3 billion. This paints a picture of a market taking a pause, but a history of past trends suggests this could be a prelude to more significant upward moves.