Sell in May and Go Away? A Look At Historic Bitcoin Price Performance in May
Before we get into the meat and bones of this article, I have to say that historical bitcoin price performance has very little to do with current market trends. A lot has happened over the past few years to be able to refute any of the information contained within. However, it is a good read, and if you’re interested in the history of Bitcoin and how performance has previously affected its price, then this is as good a place to start as any …
P.S. This Author Is Selling Nothing & Going Nowhere In May!
The first ever cryptocurrency, Bitcoin, is set to close its third successive monthly candle as green, after a record-setting 6 candles closed in red, taking Bitcoin price to its existing bearish market low of $3,150.
Due to the fact how far Bitcoin has climbed up since those regional lows, crypto interpreters think that May is likely to close in the red as buying momentum has actually begun to show fatigue, and a bigger retrace is overdue. While a red May is definitely possible, past efficiency in Bitcoin price during the month of May suggests that it is more likely to close green. Does the old stock market adage of “sell in May and go away” make sense for the leading cryptocurrency by market cap?
Crypto Analysts Expect May to Close Red on Bitcoin Price Charts
Following periods of renewed bullish self-confidence in the crypto market, Bitcoin has rallied over $2,000 above its regional bear market low, setting the first higher high since its all-time high was set; back in December 2017.
The rally has spanned over 3 months, initially beginning gradually, then getting momentum following the break of the overhead resistance at $4,200. A current move took Bitcoin price even higher, peaking at $5,650 prior to drawing back to current levels around $5,450.
Following up from “trade the trend” – People ask “how you can tell if it’s a trend?”
It does take time to form, so don’t expect to get in at the very bottom if you’re trend trader – Watch the price action – higher-lows here
I predict a red May but $BTC could still push to $6400 pic.twitter.com/Pex51XqkbZ
— Josh Rager (@Josh_Rager) April 24, 2019
Due to 3 months in a row closing green and the price of Bitcoin nearly doubling since its 2018 low, experts are now expecting the leading crypto to backtrack, leading to a red May candle close. In spite of favoring a bearish May outcome, expert Josh Rager does not dismiss the chance of Bitcoin making an attempt at $6,400 before closing the month red.
Selling in May Hasn’t Been Effective for Crypto Investors In the Past
Upon examining Bitcoin price charts over the last 9 years it’s been exchanged, the cryptocurrency has only had 3 monthly candle closes in May that was red.
The very first of which took place in May of 2013. The next after that was at the bottom of the 2015 bearish market, right before Bitcoin rallied into a new bull trend. The next red May after that, was last May, when Bitcoin was rejected at $10,000 pull back to re-test support at $6,000 in the following month.
Now, Bitcoin is ready to evaluate that very same support but turned resistance at $6,000 in the days ahead, a resistance that is assured to be a struggle for bulls who have just recently regained their self-confidence in the asset class.
From last year I remember this old stock market saying “sell in May and go away”
— Walter Wyckoff (@walter_wyckoff) April 23, 2019
Where Bitcoin goes during the month of May could set the tone for the next number of years for the entire crypto market, and we’ll learn if the expression “Sell in May and go away” holds any merit in the crypto space.
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