Major cryptocurrencies witnessed a setback on Thursday, as they retraced their gains from the previous day. This was largely due to investors keeping a close eye on the ongoing debt ceiling talks in Washington D.C. and the latest regulatory actions.
Cryptocurrency Gains +/- Price (Recorded 9:30 p.m. EST) Bitcoin (CRYPTO: BTC) -1.78% $26,830 Ethereum (CRYPTO: ETH) -1.18% $1,799 Dogecoin (CRYPTO: DOGE) -1.63% $0.073
What Happened: Bitcoin reached a high of $27,500 on Thursday before experiencing a brief pullback in the early afternoon, causing the king crypto to dip to almost $26,400.
Top Gainers (24 Hours)
Cryptocurrency Gains +/- Price (Recorded 9:30 p.m. EST) Mask Network +7.67% $4.63 XRP +3.66% $0.4615 Render Token +2.82% $2.35
At the time of writing, the global crypto market capitalization stood at $1.12 trillion, a decrease of 1.39% over the last day.
The U.S. stock market jumped on Thursday reaching its highest closing levels since August 2022, amid debt ceiling negotiations that remained in focus for Wall Street traders. The major averages steadily rose throughout the trading session, with the S&P 500 index increasing by 0.94% and the tech-heavy Nasdaq gaining 1.51%.
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Analyst Notes: "Bitcoin is hovering near its recent lows as investors await regulatory clarity and whether Wall Street believes any use-case arguments will be made anytime soon. This frustrating trading range has turned off many investors and if the crypto fundamentals don't improve anytime soon, downward pressure could resume," said Edward Moya, Senior Market Analyst at OANDA.
Michaël van de Poppe aimed for Bitcoin to maintain its position above $27,000 to 27,200 levels, but it did not happen. Consequently, his long position got stopped out, pushing him into a holding pattern. If the range is reclaimed, he will attempt another go at it. However, if this does not happen, he says his focus will shift to a $26,400 sweep and/or a fall to $25,000.
Wanted #Bitcoin to hold above $27,000-27,200. Didn't happen, stopped out on my longs and in the waiting game now. Reclaim that range, we'll try again, or now we'll be waiting for $26,400 sweep and/or $25,000.
— Michaël van de Poppe (@CryptoMichNL) May 18, 2023
Crypto analyst Benjamin Cowen has recently shared his insights on the performance of Bitcoin this year.
According to Cowen, Bitcoin is expected to experience a significant drop of 50%, causing its value to reach $12,000, but it will not be a cause for concern as it is likely to appreciate by over 30% and reach $35,000.
"My general speculation is that Bitcoin spends the duration of this year within the bounds of $12,000 to $35,000 is my best guess," he adds.
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