Bitcoin recorded its best May since 2019 despite a ‘predatory’ 3% BTC price drop.
Bitcoin (BTC) was trading at $67,500 by June 1 as last-minute BTC price volatility led to a final assault on key resistance.
Bitcoin maintains 11% monthly returns.
Data from Cointelegraph Markets Pro and TradingView showed that BTC/USD was flat at the monthly close after recovering from weekly lows.
This follows concerns about hacks on cryptocurrency exchanges in Japan and “predatory” moves by traders as the monthly deadline approaches.
US macroeconomic data in the form of the Personal Consumption Expenditures (PCE) index, despite narrowly beating expectations, failed to significantly improve sentiment, suggesting inflation is slowing.
“Price retraced its pre-PCE price action, mainly due to unwinding into the event itself,” popular trader Skew wrote in an update to X (formerly Twitter) at the time.
“It is very important to see the market trends developing here, especially spot flows. Spot bid + higher demand required. In the Lower you can see some Pomo fences that later lead to traps.”
In that event, Bitcoin reversed and closed at around $66,650, marking an 11% monthly gain in May.
“Bitcoin is consolidating nicely here,” summed up Michaël van de Poppe, founder and CEO of trading firm MNTrading.
“The market is in a state of equilibrium and is slowly waking up for further upward momentum. “This is an important area to maintain at $66,000.”
“Killer Whale Game” Will Determine BTC Price
Trading resource Material Indicators, which dug deeper into the latest BTC price action, firmly places the blame for the volatility on Bitcoin whales.
Related: Bitcoin ‘Diamond Hand’ Sell Price Drops Nearly 50% to $73.8K – Research
Large traders noted that attempts to leverage liquidity to support $69,000 by the end of the month failed. Earlier, Keith Alan, co-founder of Material Indicators, said that doing so in time would make for an “epic” end to May.
“The killer whale dumped Bitcoin request liquidity into the market and hammered the wick above $69,000. Support at $67,000 is now being utilized and we have yet to see any new liquidity coming in above $65,000,” X’s post explained.
“Large-scale reorganization continues.”
The attached chart shows the liquidity levels for the BTC/USDT pair on Binance, the largest global exchange, along with the trading volumes of different groups of whales.
Alan described these movements as “killer whale games in action.”
This article does not contain investment advice or recommendations. All investment and trading activities involve risk and readers should conduct their own research when making any decisions.
