Things Are Changing Very Quickly: What Could Happen to Bitcoin This Week?

On Sunday, May 21, Bitcoin is trading at $30,000. Over the past week, its price has remained at the same level. Below is the analysis of the situation on the market made to assess the prospects for the movement of the Bitcoin rate for the next seven days.

Consolidation Plays Into The Buyers' Hands

The first half of the week was not fun for Bitcoin as BTC/USDT fell to $26,361. Buyers quickly came to the rescue, preventing sellers from gaining a foothold below $26,500. This movement indicates that buyers are still strong and ready to defend their position in the market.

One of the reasons for the fall in the Bitcoin rate was the news about the prohibition of transactions related to Binance by the Australian bank Westpac. This decision affected both the cryptocurrency exchange and customers, leading to the general market correction.

Regulators VS Cryptocurrencies: Who Will Benefit From The New Rules?

On the other hand, the BTC price is still above $26,500, and support at this level continues to operate. It is important to remember that cryptocurrencies are a highly volatile market and small fluctuations can be due to various factors.
In the political arena, there is drama around the ceiling of the US national debt, which affects the dollar and stock indices, and correlated cryptocurrencies. So far, all eyes are on the next week, when a clearer decision on this matter will be announced.

Another key factor that affects the Bitcoin value is news from the United States. Against the backdrop of a weakening US dollar and optimistic comments from the Fed, BTC rose slightly during the week. However, everything is changing very quickly in the market, with buyers not earning on the growth due to the news about the suspension of negotiations on the ceiling of the US national debt. This was announced by Deputy Speaker of the House of Representatives Garrett Graves.

An important event that the market expects next week is the publication of the minutes of the last meeting of the US Federal Reserve and the speech of US Treasury Secretary Janet Yellen. These events can change the mood of investors and affect the BTC price. On Friday, the price index for personal consumption expenditures will be released.

Overview of Current BTC's Performance

The Bitcoin rate remains trading around $26,850. According to BitRiver, support is still at $26,500. Nothing has changed for me on the date for the upward movement. Since there is no negative news for the crypto market, consolidation plays into the hands of buyers. After June 1, the seasonal market will be ready for short-term growth with targets in the region of $34,000. We do not discount the pressure on cryptocurrencies from regulatory authorities.

At the moment, the Bitcoin rate continues to consolidate, which still doesn't prevent it from an increase in the near future that may happen if buyers manage to raise its price above $27,500, then we can expect further growth.
As a result, no matter how the situation in the crypto market changes, it is important to remember that cryptocurrency is not yet a completely studied investment tool and a risky asset. Therefore, you need to approach the issue of investing responsibly and not forget about the risks and follow the news.