Bitcoin's market value has fallen to its lowest point since March 17, dropping over 12% since May 6. This comes after CoinDesk's Bitcoin Trend Indicator flipped from bullish to neutral, indicating a shift in momentum and strength in bitcoin's price.

Data from on-chain analytics firm Santiment shows that Bitcoin sentiment turned bearish just before the asset's price rebounded from the $27,100 level. The "social volume" indicator, which measures the total number of social media text documents mentioning cryptocurrency or Bitcoin, showed high levels of fear around the time of the local bottom during the past day.

On May 7, 2023, the Bitcoin network experienced a bottleneck due to an overwhelming 500,000 unconfirmed transactions. However, the backlog is gradually clearing, resulting in a significant drop in onchain fees. As of May 11, there are only slightly over 300,000 unconfirmed transactions awaiting confirmation, and approximately 185 blocks need to be mined to clear the backlog.

Bitcoin and Ether prices have fallen to monthly lows due to concerns over shrinking liquidity and congestion on the network. Bitcoin slid 2.13% to below US$27,000, losing 6.63% for the week. Congestion on the Bitcoin blockchain is fueling the slide, with a backlog of waiting transactions reaching almost 300,000 on Friday morning.

Bitcoin's price is currently decreasing and is at risk of breaking the $25,000 support level. Despite attempts to recover above the $27,500 and $27,800 resistance levels, the price is trading below $27,500 and the 100 hourly Simple moving average. Two bearish trend lines are forming with resistance near $27,000 and $27,800 on the hourly chart of the BTC/USD pair.

Bitcoin's price has been showing bearish behavior after being rejected from the $30K resistance level and losing key support. However, there are still important support zones for the price to rely on, such as the $25K and $22K levels. A break below these levels would be disastrous for buyers seeking an upward trend.

Bitcoin (BTC) has seen a 2.8% drop in the past 24 hours, with a high of $28,280 and a low of $27,058, settling at $27,368 at the time of writing. Over the past week, the top cryptocurrency by market cap has experienced a clear downtrend, losing 6% and wiping out $45 billion from its market cap.

Bitcoin (BTC) failed to show strength and risked further loss of support, with market participants preparing downside targets around $25,000. Despite new United States macro data offering bullish cues, the pair remained weak and continued to trade at range lows. Traders are waiting for bulls to show strength by retaking the daily open before considering a possible reversal scenario.

Bitcoin has fallen below $27,500, wiping out gains from U.S. inflation data. This decline has been ongoing since mid-April when Bitcoin reached above $30,600. Despite this, some cryptocurrencies like AI, PEPE, SPONGE, BGB, YPRED, ATOM, and DLANCE may still be good investment prospects.

Bitcoin's supply on crypto exchanges has dropped to its lowest level in over five years, with only 5.84% of Bitcoin on exchanges, indicating that traders and investors are increasingly turning to self-custody. This trend of moving digital assets off exchanges and into personal crypto wallets represents a growing need for investors to have full control over their cryptocurrency assets and provide assurance that they are safe. This could be a bullish sign, indicating a substantial buying trend, as continued accumulation by hodlers could cause the price of Bitcoin to rise. Despite briefly breaking through the $28,000 level, Bitcoin's negative trend has continued, with the cryptocurrency losing 7.45% of its value in the past month.