In the current state of the cryptocurrency market, Bitcoin and other major cryptocurrencies have witnessed a significant drop in prices over the past two days. The primary reason behind this sharp decline is attributed to the breach of a key support level near $59,800 and the aftermath of the US Fed Meeting on May 1, 2024.

After the events on May 1, 2024, the United States spot Bitcoin ETF faced a substantial outflow of more than $564 million, as revealed by Spotonchain, an on-chain analytics firm. This outflow, occurring for the first time since January 10, 2024, reflects a bearish sentiment among investors and traders, indicating fear in the market. Spotonchain data shows that this single-day net outflow is the largest ever experienced by the ten Bitcoin ETFs. BlackRock iShares Bitcoin Trust IBIT even saw its first outflow since its inception.

Looking into Bitcoin's price performance, on May 2, 2024, Bitcoin underwent a further 3% drop, currently hovering around the $57,600 mark. Over the past seven days, Bitcoin has seen a 10% decline, while the last 30 days have seen a nearly 15% drop.

Despite the recent price plunge, trading volume has risen significantly by 22%, suggesting that some investors may view this as a buying opportunity and are accumulating Bitcoin. However, the overall cryptocurrency market is down by 4.5%.

As per expert technical analysis, Bitcoin's outlook appears bearish. Following the breakdown of a strong consolidation, Bitcoin closed below the consolidation zone on May 1, 2024, confirming the bearish trend. It is likely that in the near future, Bitcoin could reach the $53,200 level, given the absence of any significant support levels until that point.