Crypto News: Bitcoin greets the week with a sub-$30,000 drop in new test for bulls


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Bitcoin greets the week with a sub-$30,000 drop in new test for bulls

"Are we going to see 'Sell in May and stay away' for Bitcoin?"

— Whalechart

Welcome to the Cointelegraph Markets weekly newsletter, where we look at the influential factors behind Bitcoin price action for the days ahead.

Bitcoin is testing bulls' nerves to start the week with a drop below $30,000 immediately following the April 16 weekly close.

With the current trading range constituting key historical resistance, the need for BTC/USD to decisively flip it to support is being keenly felt.

Can bulls manage to preserve the uptrend at this crucial level?

This is the main question on traders' minds as macroeconomic catalysts give way to more crypto-centric questions when it comes to price performance.

Things are looking good under the hood — Bitcoin network fundamentals are still at or near all-time highs, and hodlers remain steadfast in their resolve not to sell.

Greed, as ever, continues to inch higher — will pragmatism win out in the end?

Cointelegraph takes a look at some of the major topics of conversation when it comes to where BTC's price could go next.

Continue reading to discover five things worth bearing in mind as part of your BTC and crypto trading strategy.

BTC meets its match at $30,000

It was all going so well for Bitcoin in April — possibly too well — as the weekly close saw a swift comedown from near 10-month highs.

The new week has a decidedly different feel to it as BTC/USD trades below $30,000.

Bullish takes remain in force, however, and traders hope that a solid retest will result in a continuation of the good times.

Earnings season begins

With the bulk of essential United States macroeconomic data out of the way, this week represents a comparatively calm period for market watchers.

"Earnings season" is nonetheless upon us, and Tesla, Netflix and banks are all due to report.

A separate debate pertains to U.S. stocks and whether these can break out higher in their own right.

Time for another difficulty record

If it sounds familiar, it is! Bitcoin difficulty is due to hit another all-time high this week.

That will be its longest streak of increases since early 2022, with difficulty knocking on 50 trillion.

Hash rate estimates likewise show new all-time highs likely reached over the weekend.

Feel like selling?

An impressive 75% of the total Bitcoin supply is currently in profit — are "hodlers" selling?

Temptation aside, it appears that the majority of this year's market participants are sitting on their hands.

Short-term speculators, data reveals, have largely been shaken out thanks to the 2022 bear market.

Sentiment flashes a warning

Danger of a snap sell-off still remains, with crypto market "greed" nearing late 2021 levels.

That was when Bitcoin hit its latest all-time high, and according to the Crypto Fear & Greed Index, the market is almost back to where it was at that time.

A healthy dose of "fear" may thus be in order.

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