Bitcoin Price Analysis: BTC Inches Towards $105,000 As Overall Sentiment Remains Bullish
Bitcoin (BTC) price action has remained subdued over the weekend as the flagship cryptocurrency trades within a narrow price band extending from $100,000 to $105,000.
BTC fell to an intraday low of $102,722 on Saturday but rebounded to briefly cross $104,000 before moving to its current level. The cryptocurrency has registered a marginal increase during the ongoing session, trading around $103,950.
Bitcoin May Skyrocket As US Loses Top Tier Credit Rating
The US has lost its AAA credit rating over rising national debt and deficits. Moody’s Rating downgraded the US credit rating, downgrading it from its perfect AAA status to AA1 due to increasing debt and interest significantly higher than similarly rated sovereigns. The downgrade is being viewed as a warning to investors and could increase borrowing costs for Americans already grappling with inflation and tariffs. Moody’s had held a perfect credit score for the US since 1917. Moody’s explained the downgrade in its official statement, adding,
“The downgrade reflects the increase over more than a decade in government debt and interest payment ratios to levels that are significantly higher than similarly rated sovereigns.”
However, despite the downgrade, Moody’s assigned a stable outlook for the country, highlighting the Federal Reserve’s historically strong and independent monetary policy. However, this outlook could be at risk, with President Trump threatening to remove Fed Chair Jerome Powell. However, an adverse market reaction forced Trump to backtrack.
Journalist Michelle Makori believes that Bitcoin and gold are worth watching following the downgrade, adding she expected their prices to skyrocket. According to Makori, the downgrade creates the perfect environment for Bitcoin and gold prices to surge.
“Watch Bitcoin and gold. America now shares a credit rating with Austria and Finland. Hard assets don’t lie. Watch Gold and Bitcoin.”
Bitcoin Whales Accumulating
Meanwhile, Bitcoin whales are continuing to accumulate the asset, according to OKC Partner and Binance KOL Ted Pillows. According to analysts, Bitcoin Whales acquired 2,180 BTC valued at around $226,750,000 on May 15, indicating strong market confidence. Large accumulations by Bitcoin whales generally suggest bullish sentiment among investors and a strong potential for further price appreciation. BTC is trading around the $103,900 mark at the time of writing.
Bitcoin (BTC) Price Analysis
Bitcoin (BTC) maintained its position above $100,000 despite selling pressure and buyer exhaustion. Market watchers are watching for signs of an uptrend and whether it will carry BTC past its all-time high of $109,000. Despite waning momentum, market experts believe BTC’s uptrend is far from over. Blockstream CEO Adam Beck stated earlier in the week that Bitcoin’s price was strangely low and could surge to $500,000 or even $1M over the next four years. Meanwhile, another analyst predicted that BTC’s next market top could be $120,000, but only if the $90,000 support holds.
However, some bearish signals are emerging despite overall bullish sentiment. The flagship cryptocurrency registered a sharp increase of 2.19% on Tuesday, settling at $96,845. A marginal increase the following day saw the price reach $97,000. Bullish sentiment intensified on Thursday as markets rallied. As a result, BTC soared over 6%, crossing $100,000 and settling at $103,093. The rally lost momentum on Friday as BTC registered a marginal decline and settled at $102,851. However, it recovered on Saturday, rising nearly 2% to $104,617. Despite a positive Saturday, the price was back in the red on Sunday, falling almost 1% and settling at $103,802.
Source: TradingView
BTC encountered volatility on Monday as buyers and sellers struggled to establish control. Sellers ultimately gained the upper hand as the price dropped 1.04% to $102,728, but not before falling to an intraday low of $100,694. The price recovered on Tuesday, rising 1.36% to $104,123. However, it lost momentum on Wednesday, falling 0.53% and settling at $103,568. The price plunged to an intraday low of $101,459 on Thursday as selling pressure intensified. However, it rebounded from this level to register a marginal increase and settle at $103,816. Price action turned bearish on Friday and Saturday as BTC registered marginal declines and settled at $103,235. BTC has recovered during the ongoing session, with the price up nearly 1%, trading around $104,000.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
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