May 19th of every year is an unforgettable day for old investors and a memorable moment for newcomers in the cryptocurrency world. You don’t have to experience it yourself, but knowing the past can help you learn lessons from it.
Historically, March 12 and May 19, these special days do not necessarily lead to market turmoil, but are the result of the superposition of multiple factors. For newbies, days like this are more reminders and reflections than a source of panic. Especially on May 19 last year, although the market did not fall sharply, the trading volume shrank significantly and the market showed significant desertion.
This weekend, the market is expected to continue to move sideways or slightly downward. Traders should prepare their strategies accordingly to welcome a possible market rebound next Monday.
Market trend analysis:
Bitcoin and Ethereum market observation: The number of initial jobless claims in the United States as of the week ending May 18, as well as the SEC review of multiple Ethereum ETF applications such as VanEck, did not cause much volatility in the market. The price of Bitcoin fluctuated between $65,500 and $68,000, while the U.S. stock market showed differentiation, with the three major stock indexes generally showing an upward trend during the week.
Ethereum’s current situation: Although Ethereum has been active in technology updates and iterations, its performance is often inferior to other cryptocurrencies such as Bitcoin and Solana. Currently, Ethereum’s bullish sentiment is mainly driven by market heat rather than based on its stable growth performance.
In the current bull market environment, every price adjustment is a preparation for a higher leap. Investors should focus on buying at low levels or entering the market when breaking through key resistance levels to avoid chasing highs and selling lows. In such an upward trend, finding a safe buying point will be the key to ensuring investment returns.
By deeply understanding the market rhythm and historical cycles, you can respond to every market fluctuation with a calm and strategic perspective even on the most turbulent days.
Gold continued to rise today, and as the US dollar index continued to remain below 105, risk assets were strengthened. At present, the space for US dollar speculation has been extremely compressed, and any seemingly tough hawkish remarks are not worth worrying about. Although the pace of interest rate cuts may be slow, their arrival is inevitable. Now, Sister Han boldly predicts that this policy may be ushered in within the next three months. Although this may be a risky prediction, the current market layout is at its best period, and it is the moment when the difference between despair and hope breeds a big market.
With the bull market likely running out of time, this trend usually lasts about two years. Therefore, Akan expects this cycle to end around April 2025.
In addition, the latest Consumer Price Index (CPI) data shows that U.S. inflation is easing, a trend that coincides with yesterday's rapid rise in Bitcoin prices and indicates that the Federal Reserve may implement multiple interest rate cuts this year. For now, with the ETF narrative fading, bulls may be pinning their hopes on a further decline in U.S. inflation, which is expected to be significantly lower in the second half of 2024. In this case, the price of Bitcoin, the leading cryptocurrency this year, may finally cross the $150,000 mark.
However, in order for the market to be completely strong, the key lies in whether it can break through the next major resistance level of 67300. Once this point is reached, the market will completely reverse, and it will become much easier to climb further to $70,000. Once the trend reverses, its sustainability will not be underestimated.
Regarding the current market position, we need to pay close attention to the following important levels:
Short-term upper resistance levels: 67300 and 70000
Short-term support levels below: 63600 and 60020
Cryptocurrency sectors worth watching include:
Physical asset track: ONDO, TRU, POLYX
Artificial intelligence sector: FET, LPT, ARKM, AGIX, AKT, NFP, JASMY
The vanguard of MEME coins: DOGE (the first) and SHIB (the second)
Solana on-chain MEME coins: BOME, WIF, BONK
Modular technology and new public chains: Tia, Sui, Sei
Blockchain games: classic GALA, YGG, GMT and emerging Pixel, XAI
Re-staking technology section: SSV, ETHFI
Oracle Section: PYTH
Solana Ecosystem Three Giants: JUP, JTO, and RAY
When participating in these sectors, make sure to analyze rationally and control risks. I wish you success in the market and remember to be cautious.
