As May begins, Bitcoin (BTC) is making headlines again—this time by approaching the $97,000 mark, its highest level since February 22. In just one day, the world’s largest cryptocurrency rose nearly 3%, sending a clear message: the bulls are back in control. Meanwhile, traditional safe-haven asset gold is down nearly 8% from its recent highs, creating an interesting contrast between the old and new stores of value. With global markets in a state of flux, investors are closely watching Bitcoin’s next move—and what it might mean for the broader financial landscape. Bitcoin’s Climb: A Perfect Storm of Momentum Bitcoin’s sharp move higher came during the opening hours of the U.S. trading session. Stocks were also rallying, with tech giant Microsoft jumping 10% and temporarily becoming the most valuable public company on the planet. This kind of synchronized bullish momentum in both equities and crypto suggests that investors are regaining confidence in risk-on assets. Popular trader a...
As May begins, Bitcoin (BTC) is making headlines again—this time by approaching the $97,000 mark, its highest level since February 22. In just one day, the world’s largest cryptocurrency rose nearly 3%, sending a clear message: the bulls are back in control. Meanwhile, traditional safe-haven asset gold is down nearly 8% from its recent highs, creating an interesting contrast between the old and new stores of value.
With global markets in a state of flux, investors are closely watching Bitcoin’s next move—and what it might mean for the broader financial landscape.
Bitcoin’s Climb: A Perfect Storm of Momentum
Bitcoin’s sharp move higher came during the opening hours of the U.S. trading session. Stocks were also rallying, with tech giant Microsoft jumping 10% and temporarily becoming the most valuable public company on the planet. This kind of synchronized bullish momentum in both equities and crypto suggests that investors are regaining confidence in risk-on assets.
Popular trader and analyst Daan Crypto Trades pointed out that the stock market—specifically the S&P 500—is nearing a key technical zone. He shared on X that if stocks can break above the 0.618 Fibonacci retracement level after a major dip, it typically signals that the worst is over and a bullish trend could follow. He called this area “crucial” for both traditional and crypto markets.
While Bitcoin has recently outperformed most major indexes, Daan warned that traders shouldn’t ignore traditional markets: “Big moves in stocks can still drive crypto. Watch this level closely.”
A Battle Around $97K: Resistance Builds
While enthusiasm is growing, not everyone is betting on further gains just yet. According to market data from CoinGlass, there’s a growing wall of sell orders—or “ask liquidity”—just below the $97,000 level. This means that as Bitcoin gets closer to this price, it may face stronger resistance, at least in the short term.
Analyst Skew, who monitors order book activity across major exchanges, highlighted this liquidity cluster as a potential barrier. However, he also noted that if bulls can push past it, it may open the door to a run toward six figures.
“Breaking through $97K won’t be easy,” Skew commented, “but once it happens, the momentum could accelerate fast.”
What’s Going On With Gold?
As Bitcoin climbs, gold—often seen as its more conservative cousin—is struggling. The precious metal has dropped nearly 8% from its peak earlier this year, dragged down by shifting macroeconomic expectations.
Recent GDP data out of the U.S. showed weaker-than-expected growth, raising concerns about a potential slowdown or even a recession. This has sparked fresh discussions about whether the Federal Reserve might pivot toward interest rate cuts in the coming months.
Crypto analyst Michaël van de Poppe weighed in on X, saying:
"Poor economic numbers are increasing the pressure on the Fed. If they turn the money printer back on, assets like Bitcoin will likely benefit. In the short term, however, this scenario is less favorable for gold."
This divergence between gold and Bitcoin is especially interesting. In past crises, gold was the go-to hedge. But with a younger generation of investors and more trust in digital assets, Bitcoin is now being seen by many as “digital gold”—only faster, more accessible, and more volatile.
What This Means for Investors
So what does this all mean? For traders and long-term holders alike, the start of May is filled with both excitement and caution. On one hand, Bitcoin’s strong price action and increasing correlation with stocks suggest the possibility of a continued bull run. On the other, macroeconomic uncertainties and looming resistance levels near $97K may slow things down—or lead to sharp reversals.
If the Federal Reserve does begin cutting interest rates later this year, or signals a softer monetary policy stance, crypto markets could gain even more momentum. For now, all eyes are on whether Bitcoin can break past $97,000 and march toward the psychologically important $100K milestone.
Bitcoin’s recent rally highlights its growing role in today’s global financial ecosystem. As gold retreats and recession fears rise, more investors are looking to digital assets as a hedge against inflation, policy shifts, and uncertainty.
While no one can predict the future with certainty, one thing is clear: Bitcoin is no longer just a speculative play—it’s a key part of the evolving conversation around wealth, value, and the future of finance.
Source: cointelegraph.com
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