Bitcoin (BTC) Price Faces a Short-Term Bearish Outlook After Closing Last Week in an Inverted Hammer Candlestick

Bitcoin (BTC) price faces a short-term bearish outlook as the total crypto market cap slipped 3 percent to about $3.04 trillion in the past 24 hours.

According to the latest market data at the time of his writing, Bitcoin price has dropped about 1.2 percent in the last 24 hours to trade at about $94,195 on Monday, May 5 during the mid-North American trading session.

Bitcoin Network Record Mixed Reactions from Whale Investors

Ahead of the United States Federal Funds Rate and FOMC statement this week, on-chain data analysis shows a mixed reaction from whale investors. Bitcoin maximalists, led by Strategy and Semler Scientific continued to accumulate regardless of price action.

Notably, Strategy announced on Monday that it acquired 1,895 BTCs last week, thus currently holding about 555,450 Bitcoins. Semler Scientific announced that it acquired 167 BTCs in the past few days and currently holds about 3,634 coins, thus becoming the fourth-largest Bitcoin Treasury Company in the United States.

As a result, market data analysis from CoinShares shows that Bitcoin’s investment products recorded a net cash inflow of about $1.8 billion last week.

Meanwhile, on-chain data analysis from IntoTheBlock shows that large transaction volume on the Bitcoin network declined by $139 billion in the past seven days.

Midterm Expectations for BTC Price

Since April 9, when U.S. President Donald Trump posted it was a great opportunity to buy, Bitcoin price has gained over 18 percent to date. However, the bullish momentum has significantly declined after the BTC price retested the resistance/support level around $96.5k.

In the two-hour timeframe, the BTC price has broken down from the recently established rising logarithmic trendline. With the MACD line having crossed below the zero line, the short-term bearish outlook has gained more ground. As a result, BTC’s price is well positioned to retest the support level around $91k before rallying towards $100k in the near future.