Bitcoin price stuck below $29K as Terra comes back from the dead

Bitcoin price stuck below $29K as Terra comes back from the dead

Bitcoin (BTC) analysts faced yet another setback on May 28 as BTC/USD refused to offer up and down moves.

BTC/USD 1-day candlestick (Bitstamp). Source: TradingView

‘Not the decoupling we wanted’

Data from Cointelegraph Markets Pro and TradingView showed that the largest cryptocurrency remained in tight short-term ranges through the weekend.

Support previously forecast to avoid a further correction was held during Wall Street trading on May 27, but again failed to bounce higher as commentators looked for fresh clues.

“Short-term resistance and long-term support until one of them breaks. Keep ranges simple as they can engineer liquidity for trend continuations or reversals,” concluded popular trading account Crypto Tony in a recent tweet.


Others focused on Bitcoin’s relative underperformance compared to stocks, which ended the weekend. On May 27, the S&P 500 rose 2.47% and the Nasdaq Composite rose 3.33%.

Unlike Bitcoin, the stock market is taking full advantage of the continued downtrend of a stronger dollar.

The U.S. dollar index (DXY) hovered at 101.6 on the day, below the 105 high that marked the last peak of late 2002.

Analyst Matthew Hyland noted that the index’s reversal means it is now challenging the overall uptrend since the beginning of the year.

Dowon confirms LUNA’s rebirth

On altcoins, the revival of controversial blockchain protocol Terra has been greeted with a limp.

Related: “Terra 2.0 Revival Plan” in exchange for airdrops, listings, buybacks, and burns

Terra co-founder Do Kwon confirmed the launch of a new mainnet for the internal token Terra (LUNA) on the same day.

At the same time, concerns have grown over other major altcoin projects, notably Celsius (CEL), which fell from $0.80 to around $0.50 in less than a week.

CEL/USD 1 hour candle (FTX). Source: TradingView

Hex (HEX), a project that has raised suspicion throughout its existence, suffered a similar fate, falling to lows below $0.05 from just over $0.11 a week ago.

Nonetheless, the top 10 cryptocurrencies by market cap replicated Bitcoin’s low-volatility behavior in the 24 hours prior to this writing, with only Dogecoin (DOGE) showing a clear move, this time up $0.08.

DOGE/USD 1-hour candle (Binance). Source: TradingView

The views and opinions expressed herein are those of the author and do not necessarily reflect the views of Every investment and trading move involves risk and you should do your own research when making a decision.

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