Bitcoin ends week on the edge as S&P 500 officially enters bear market – Cointelegraph

Bitcoin (BTC) struggled to recover its latest losses on May 21 after Wall Street trading provided zero respite.

Data from Cointelegraph Markets Pro and TradingViewshowed BTC/USD trading dipping below $28,700 into the weekend, subsequently adding around $500.

Down 4.7% from the previous days $30,700 highs, the pair looked firmly rangebound at the time of writing after United States stocks indexes saw a volatile final trading day of the week.

The S&P 500, managing to reverse after initially falling at the open, nonetheless confirmed bear market tendencies, trading at 20% below its highs from last year.

Another wacky day in the stock market. Dow Jones -500 early in the day, then recovers it all and closes +8, popular Twitter account Blockchain Backers commented about broader U.S. market performance:

As Cointelegraph previouslyreported, various sources had called for Bitcoin to fall once again in a manner similar to last weeks capitulation event.

Continuing the conservative macro outlook, fellow Twitter commentator PlanC argued that external shifts could still bring Bitcoin down significantly from current levels.

If the Crypto market was in a bubble I would say 25k to 27.5k is the Bitcoin bottom, but there is a decent probability that macro factors drag us down to 22-24k. Significant black swan, 15-20k becomes a possibility, part of a tweet on the day read.

Beyond stocks, the U.S. dollar index (DXY) was consolidating after a strong retracement from twenty-year highs.

With ten days left until the end of the month, BTC/USD risked May 2022 being the worst in terms of returns in its history.

Related:Bitcoin must defend these price levels to avoid 'much deeper' fall: Analysis

Data from on-chain analytics resource Coinglass showed month-to-date returns currently totaling -22% for Bitcoin, the largest retreat of any year except 2021s -35%.

2022, the collective figures confirmed, was also the worst-performing first five months of the year for Bitcoin since 2018.

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Bitcoin ends week on the edge as S&P 500 officially enters bear market - Cointelegraph