May 2 Cryptocurrency Market Analysis

Today, the crypto market saw a strong rebound, with bulls returning. BTC broke through the 78,000 level with a surge in volume, after rising to a high of 78,900 in the early morning, followed by consolidation in a high range, and overall market sentiment noticeably improved. Bitcoin is currently trading around 78,300. The 24-hour gain is about 2.5%. The intraday low was 76,200. Buying interest at lower levels is strong, and bullish dominance is clearly evident. Ethereum also moved higher in tandem, at 2,295, up 1.7%. Most major coins rose broadly by 1%-3%, while the altcoin sector largely recovered, with active catch-up gains in the lower range.
Across the entire network, more than 210 million US dollars were liquidated over the past 24 hours, with short positions accounting for more than 80%. Bearish momentum has sharply weakened. The Fear & Greed Index rebounded to 35, indicating a neutral-to-bullish bias. On the news front, there has been positive progress in US-Iran negotiations, easing geopolitical risk aversion; the US dollar weakened and US stocks hit fresh highs in tech innovation, providing macro tailwinds for risk assets. In addition, BTC spot ETFs have continued to see net inflows, and institutional medium- and long-term support remains solid.
Technically, BTC’s daily chart saw a breakout with a large bullish candle. On the 4-hour timeframe, the market shows a bullish alignment. Resistance lies at 79,000-79,500, and support is at 77,800-77,000. ETH has resistance at 2,320-2,350, and support at 2,260-2,230.
The short-term strong pattern has been established. The strategy is mainly to buy the dips in line with the trend, not to chase price. Take a light position on pullbacks into the 77,500-77,800 range, use strict stop-losses, and watch the strength of a breakout above 79,000.
⚠️Risk reminder: Crypto is extremely volatile. The above is for market analysis only and does not constitute investment advice. $BTC