- Bitcoin surges past $96K, flipping sentiment as gold stumbles amid macroeconomic uncertainty.
Bitcoin (BTC) kicked off May with a sharp upward move, climbing 3% on May 1 to hit $96,955—its highest level since February 22. The bullish momentum appears to be part of a broader shift in market sentiment, with short sellers scrambling to cover positions and traditional safe-haven asset gold dipping 8% from recent highs.
According to data from Cointelegraph Markets Pro and TradingView, Bitcoin is now edging dangerously close to the psychologically significant $100,000 mark. The upward price action has coincided with a rebound in U.S. equities, particularly tech stocks. Microsoft gained 10% at the Wall Street open, briefly reclaiming its spot as the world’s most valuable publicly traded company.
Popular trader Daan Crypto Trades noted on X (formerly Twitter) that U.S. stock indices are approaching critical technical levels. “If stocks do trade back above the .618 Fibonacci retracement after a big drop, the bottom is considered to be in,” he explained, suggesting that continued equity strength could spill over into the crypto markets.
On-chain data reveals mounting resistance at the $97,000 level, as exchange order books show thickening ask liquidity. Fellow trader Skew pointed to this level as a potential flashpoint for price volatility in the coming sessions.
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Meanwhile, the macroeconomic backdrop remains turbulent. Disappointing U.S. GDP figures have rekindled recession fears, intensifying pressure on the Federal Reserve to cut interest rates. This environment may benefit risk-on assets like Bitcoin in the medium term, even as traditional stores of value such as gold falter.
“Bad macroeconomic data came along, through which the pressure on the FED is increasing to start the money printer again,” commented crypto analyst Michaël van de Poppe. “Ultimately, good for risk-on assets. Short-term, bad for gold.”
As gold slips and Bitcoin continues its ascent, the market appears to be rotating in favor of digital assets. With BTC bulls preparing for a showdown at $97K, the question remains: can Bitcoin sustain this momentum and finally breach the elusive six-figure threshold?
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
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