Bitcoin, the world's largest cryptocurrency, faced a turbulent start in May as its upward trajectory faltered, prompting concerns among investors. However, prominent crypto analyst PlanB remains bullish, predicting an average price of around $500,000 for Bitcoin from 2024 to 2028, according to his Stock-to-Flow (S2F) model.

PlanB's latest analysis indicates that Bitcoin closed April at $60,632, marking the end of the previous halving cycle and suggesting the completion of a significant cycle. Despite falling slightly below the S2F model's prediction of $55,000, the average price over the 2020-2024 halving cycle stands at $34,000. PlanB's analysis signals the start of a new countdown to the next halving event.

However, recent price action paints a different picture, as Bitcoin hit multi-month lows on May 1st, dropping to $56,555, the lowest level since February. With the leading cryptocurrency recording its worst month since November 2022, concerns have risen about its ability to recover, especially after a 7% drop over the past day, leaving Bitcoin at $57,300. These losses extend to nearly 20% for the month.

Bitcoin's recent plunge was forecasted by QCP Capital, which highlighted several key indicators suggesting a volatile trading session. The disappointing start of Hong Kong's spot Bitcoin and Ether ETFs, with volumes far below expectations, signaled subdued institutional interest in crypto, particularly in Asia. Additionally, events such as Amazon earnings and the sentencing of Binance's former CEO CZ added to the market's uncertainty, paving the way for heightened volatility.

While PlanB's optimistic prediction suggests a bright future for Bitcoin, recent market movements underscore the challenges and uncertainties facing the cryptocurrency. As investors navigate through these volatile times, attention remains focused on Bitcoin's resilience and its ability to overcome short-term setbacks.