AI forecasts Bitcoin price on May 1, 2024
In the realm of cryptocurrency investment, the landscape remains enigmatic for stakeholders. Bitcoin (BTC) has once again seized the spotlight this week, exhibiting significant price fluctuations amidst a global economic shift and developments within the cryptocurrency sphere. As of April 18, the current Bitcoin price stands at $61,080, marking a decline of approximately 13.85% over the past week and a staggering loss of over $180 billion from its market capitalization.
Additionally, Bitcoin has undergone a 3.49% downturn in the last 24 hours, further contributing to its market capitalization decrease to $1.293 trillion. Presently, Bitcoin’s trading scenario teeters on a crucial juncture, with the cryptocurrency confronting pivotal support and resistance levels. The immediate support threshold rests at $58,072, closely trailed by a more optimistic resistance level at $64,499.
Forecasts derived from artificial intelligence (AI) machine algorithm models suggest a bearish trajectory for BTC in the long term, projecting a minor decrease of 1.7% with a target price of $60,044 by May 1. Conversely, in the short term, machine learning algorithms signal a bullish trend, hinting at a potential modest upsurge in the coming hours. These algorithms utilize technical analysis (TA) indicators such as relative strength index (RSI), moving average convergence divergence (MACD), Bollinger Bands (BB), average true range (ATR), among others.
In addition to AI predictions, crypto expert Ali Martinez posits that key support levels will delineate BTC’s trajectory. Martinez suggests that if Bitcoin descends below $62,300, it could plummet to $56,200. Conversely, surpassing the $62,300 mark could signal a prospective upswing to $66,500. Meanwhile, cryptocurrency analyst CryptoCon asserted on April 17 that the ongoing correction serves as a crucial measure aimed at achieving long-term price stability.
External factors, notably the strengthening dollar prompted by the Federal Reserve’s decision to forgo interest rate cuts, dampen the bullish outlook for BTC. Investors anticipate future elevated rates, rendering dollar-denominated assets more attractive. This poses a challenge for Bitcoin as it approaches its halving event scheduled for April 19 or 20. Both the impending halving and the dollar’s vigor are poised to be pivotal determinants shaping Bitcoin’s future price trajectory.
Historically, Bitcoin has thrived in the face of a weakened dollar, witnessing price hikes as the dollar depreciates. However, the impending halving event complicates prognostications regarding Bitcoin’s future trajectory.
Disclaimer: The information provided herein should not be construed as investment advice. Investing inherently involves risk, and individuals should exercise caution when considering investment decisions.