Last month marked as the second-worst month in the history of Bitcoin as the asset dipped by 35 percent during the month.
This is amidst historical antecedents which has it that Q2 is always a profitable period for Bitcoin. The number one crypto only succeeded in failing to produce any gain so far in Q2 2021.
After a blossoming April for BTC seeing the coin surging to a new high at $65,000 but ultimately retraced to below $60,000.
The number crypto began May on a good note surging and challenging to break the $60,000 again. However, the coin could not break the level as proponents argued that if BTC fails to conquer it, a rejection may arrive.
The rejection arrived and hit so hard when Tesla CEO, Elon Musk announced that the electric vehicle makers would stop receiving crypto payments and China’s stern regulation against BTC dropped the value of the crypto down further.
It fell from $58,000 to $50,000, then to $40,000, and ultimately it bottomed at $30,000 on May 19th. Since then, BTC has reclaimed some ground but still failed to surge past $40,000.
BTC ended May deep in red. According to Bybt, the asset slumped by 35.31%, which became the second-worst performing month in terms of USD price movements. It trailed only to November 2018, when BTC dropped by 36.57%.
Early in June, analysts predict further crash for Bitcoin
JPMorgan analyst Nikolaos Panigirtzoglou has predicted more doom for the number one crypto this month. He said that a medium-term fair value for Bitcoin now stands between $24,000 and $36,000.
Weakened institutional demand is likely to drag the BTC price below $30,000 he wrote in the latest research note to clients.
Based on Bitcoin’s volatility ratios to gold, the JPMorgan analyst forecasted that Bitcoin will continue to trade between $24,000 and $36,000 in the mid-term. “The fair value for bitcoin based on a volatility ratio of Bitcoin to gold of around x4 would be 1/4th of $145k or $36k. The fair value for BTC based on the current volatility ratio of Bitcoin to gold of around x6 would be 1/6th of $145k or $24k. We thus see a fair value range of $24k to $36k over the medium term,” the note reads.
He raised hope, however, that JPMorgan still sees a $145,000 price mark as a long-term “theoretical target” for BTC’s price.