Here is our quick update on May 2021 performance:
The May crashes came as a shock for more recent investors, who have not seen a crash in the past 12 months. The market, which peaked at nearly $2.6 trillion recently, plummeted more than 50% to $1.2 trillion as bitcoin, ether, dogecoin and Cardano plunged by 30~50% in just 11 days.
- OneBit average investor return on spot trading remained positive at 6.0% (Apr 8.9%).
May Profit/ Loss on Popular Coins
- -31.2% (Apr -1.2%) average return for Bitcoin (BTC)
- -20.2% (Apr 32.8%) average return for Ethereum (ETH)
- -39.3% (Apr 32.0%) average return for Litecoin (LTC)
- -23.9% (Apr 165.6%) average return for Ripple (XRP)
- -29.3% (Apr 76.3%) average return for Bitcoin Cash (BCH)
This month OneBit profit is 6.0%, gained during the first two weeks of trading. Based on trend analysis, our Bot anticipated the market volatility and automatically suspended trading and cleared all positions a few days before the crash on 19th May, keeping all our clients’ asset value intact. For the remainder of the month, OneBit took a cautious view on the market and maintained zero involvement during the volatility.
These developments exemplify our OneBit’s trading philosophy:
Catch the high wind and cushion the downside.
We emphasize on risk management and take a conservative view to protect our clients’ assets.
Below chart reflects how our trading strategy is adjusted based on this month’s market trend.
A regulatory clampdown initiated by China banned bitcoin mining and banks and online payment channels from offering customers crypto services. China hopes to curb speculative trading, maintain capital controls and encourage its population to embrace a digital yuan.
And secondly, of course, Elon Musk, reversed his February decision to accept Bitcoin as payment for Tesla’s electric cars. Musk and his company Tesla have shown a concerning ability to influence the Bitcoin price and market sentiment.
Till now, Bitcoin was still unable to reclaim the important psychological and technical levels of $40k. Sentiment in BTC markets appears to be leaning towards circumspect and anxious with the Crypto Fear and Greed Index hitting a point of ‘Extreme Fear’ and a score of 10. According to the indicator, sentiment in crypto has dropped considerably 3 months. In early March, Fear and Greed Index had a score of 78 and was in a state of ‘Extreme Greed’. This reversal suggests that many market participants have had their fill of profits and sitting back now.
We hope you enjoy our fundamental analysis above to have a brief understanding of the crypto world. At OneBit, we strive through technical analysis, but we also love good stories behind the charts that move the world.