BTC faces 3% decline in May, though upcoming US PMI figures could lift Bitcoin price
Bitcoin is positioning to close May with a negative monthly candle as market participants shift focus to incoming US PMI and employment data scheduled for next week.
Bitcoin (BTC) hovered around the $73,500 mark on Sunday as bullish investors faced the prospect of a 3% decline in BTC price performance throughout May.
Key points:
- Bitcoin appears poised to conclude May with losses as the monthly candle approaches closure.
- Employment data from the United States will serve as the primary volatility driver for risk assets in the upcoming week.
- Technical analysis of Bitcoin indicates that the $73,000 level represents a critical threshold for the monthly close.
Bitcoin targets negative May close while awaiting crucial US PMI figures
Information from TradingView tracked a relatively calm weekend for the BTC/USD pair, which continued to trade below its 2025 annual lows.
American equity markets concluded the week by reaching fresh all-time highs, yet Bitcoin was unable to benefit from the momentum generated by reduced geopolitical tensions, including notable advancement toward a ceasefire agreement between the US and Iran.
In commentary shared on X, trading intelligence platform The Kobeissi Letter cited remarks from US President Donald Trump indicating that he maintained "in no hurry" status regarding the completion of an Iran agreement.
Turning attention forward, the platform noted, the upcoming week's focus would be "all about the labor market," with employment statistics from the United States representing a potential catalyst for volatility across cryptocurrency and risk-asset markets.
This would encompass the May release of the Institute for Supply Management (ISM) Manufacturing Purchasing Managers' Index (PMI) — an indicator of economic production that has provided some support to BTC price movement in the preceding months.
"If bitcoin still continues to follow growth & risk appetite, it needs to reprice higher from here IMO," stated Andre Dragosch, European head of research at cryptocurrency asset manager Bitwise, in commentary posted to X following the most recent PMI data release.
Technical analyst anticipates BTC price monthly close maintaining above $73,000 level
With the BTC/USD pair registering a decline slightly exceeding 3% on a month-to-date basis, according to information from CoinGlass, market traders demonstrated minimal enthusiasm.
"At the moment, the $BTC retest of $73k has been successful despite recent downside volatility," shared trader and analyst Rekt Capital in his most recent X analysis post.
"If Bitcoin manages to Weekly Close above $73k then price will be one step closer to confirming the Double Bottom breakout & be positioned to try to trend continue."
Rekt Capital made reference to a "W"-shaped bottom pattern visible on the weekly timeframe chart that developed starting from late February and extending forward.
Given the presence of multiple significant trend lines in the immediate vicinity, trader Daan Crypto Trades anticipated the broader macro trading range would remain intact for the near-term future.
"$BTC Trading at its bull market support band after a failed retest the past few weeks. The Weekly 200MA & EMA are still moving up and closing in on price as well," he communicated to his X followers.
"With all these big high timeframe weekly levels around this area, I would not be surprised to see us trade between $60K-$80K for quite a while."
As previously reported by Cointelegraph, Bitcoin price action was no longer expected to target short-term objectives created by "gaps" in CME Group's Bitcoin futures markets, given that these contracts now operate on a 24-hour trading basis.