The fast-paced price rally of the largest cryptocurrency by market capitalization Bitcoin (BTC) which began at the beginning of the year, seems to have experienced a stall in May. It has now progressed into the first month of the last half of the year with new realities. On Thursday, June 1st, crypto prices moved slightly into the red zone and BTC was not left out of the sad reality.
Recently, Bitcoin was down 0.5% over the past 24 hours and therefore, traded at $26,950. In the days following the token continued to plummet way below $27,000.
In all of May, BTC price plunged by more than 4% to break a four-month streak of gains, and this same downward trend was experienced on June 1st. At the beginning of the price rally in January, the largest crypto asset recovered from the $15,000 price mark it had fallen to following the implosion of the FTX exchange.
Between January and mid-April, the price soared reasonably by about 60%, reaching $31,000. This uptrend in crypto prices at the time was attributed to the failure of the United States banking system which led to the collapse of three banks and raised concerns about traditional finance. Bitcoin and many other digital assets became a preferred alternative for investors after gold and bonds.
Bitcoin Reaches Accumulation Phase
BTC is currently trading at $27,140.38, showing more than a 1% gain in the last 24 hours. Amidst all these, Bob Baxley, the CTO of DeFi infrastructure platform Maverick Protocol, declared that the coin and many other cryptocurrencies are in an “accumulation phase” where investors are somewhat hesitant. This comes after Asia opened the market on Friday and BRC-20 tokens reached a $500 million market cap.
The moving averages are pointing to neutral or perhaps a little more bullish, suggesting that we are in the process of building another foundation for another leg upwards,