Fundamental view:

Bitcoin dropped against the greenback during the trading course of the week. The fall of the Bitcoin indicates a lower appetite for risk among traders,  investors reduce their exposure to speculative assets such as cryptos during times of uncertainty. .As the Shanghai’s coronavirus lockdown dragged into the fourth week, China ordered mass coronavirus testing in Beijing, escalating fears over a lockdown in the capital city of the world’s second-biggest economy which weighed on the consumer sentiment. The escalating geopolitical risk also weighs on the market sentiment favoring the US dollar. Amidst that the aggressive rate hike expectation from Fed also weighs on the Bitcoin.

Elsewhere, a Twitter thread by crypto analyst and pseudonymous Twitter user “Wolves of Crypto,” indicates that “the most probable bear market bottom for Bitcoin will take place in November/December 2022.”

The major economic events deciding the movement of the pair in the next week are ISM Manufacturing PMI at May 02, JOLTS Job Openings at May 03, ADP Nonfarm Employment Change, ISM Non-Manufacturing PMI, EIA Crude Oil Stocks Change, Fed Interest Rate Decision at May 04 and Nonfarm Payrolls at May 06 US.

BTC/USD Weekly outlook:

Technical View:

Last week’s high was 5.10% lower than the previous week. Maintaining high at 40781.1 and low at 37718.4 showed a movement of 3063 pips.

In the upcoming week we expect BTC/USD to show a bearish trend. The Instrument is trading below the 200 Simple Moving Average and the MACD trades to the downside. Should 37359.8 proves to be unreliable support then the pair may fall further to 36007.7 and 34297.1 respectively whereas a solid breakout above 40422.5 will open a clear path upward to 42133.1 and then will further raise up to 43485.2. In H4 chart rounding top pattern formation favors prospects of a bearish trend. Three inside down pattern constructs a bearish outlook for the pair in the upcoming week.