Bitcoin btc
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Bitcoin (BTC) Market Cap Sunk More than $120 Billion in May

2 mins
Updated by Kyle Baird
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In Brief

  • Bitcoin market value continues to decline due to an overall bearish market.
  • BTC continues to trade below $50,000 in 2022.
  • The Bitcoin market cap was approximately $605 billion by the end of May.
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Bitcoin was hit hard in the crypto market crash of May which led to a steep decline in the market value of the most popular cryptocurrency.

Bitcoin remains the largest digital asset by market capitalization in June 2022. According to Be[In]Crypto research, BTC closed the fifth month of the year with a market capitalization of approximately $605.8 billion.

This was a 17% decrease from the opening day’s market value. On May 1, BTC saw an impressive trading volume of $27 billion which corresponded to a market capitalization of around $732 billion. 

Source: Bitcoin Historical Data by CoinMarketCap

Why the sinking market capitalization?       

A broader sell-off by investors that gained momentum in the week of May 9 to 13 can be credited to the waning market capitalization of Bitcoin. The primary factors that led to the sell-off were economic uncertainty brought forth by Russia/Ukraine crisis, inflation, and rising interest rates. 

In May, the number of large transactions involving Bitcoin reached a peak of 29,130 at a price of $27,960 on May 12.   

Source: BTC Number of Large Transactions May 2022 Chart by Into the Block

This corresponded with a large transaction volume of approximately $278.47 billion.

Source: BTC Large Transactions Volume May 2022 Chart by Into the Block

On May 12, BTC opened at $28,936.73 and reached an intraday low of $26,350.49. Trading volume was in the region of $66.99 billion and corresponded to a market capitalization of approximately $553 billion. This was a 24% decrease in BTCs opening day market value. Due to the plunge in price that saw BTC reach its lowest point since 2020, the late recovery attempts could not see the coin retest the region of its opening day market capitalization in May. 

BTC price action 

Bitcoin opened on May 1, at $37,713, reached a monthly high of $39,789, tested a monthly low of $26,350 on May 12, and closed the month at a trading price of $31,792.

Overall, this equates to a 15% decline in the opening and closing price of BTC in May. 

 Source: BTC/USD Chart by TradingView


In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions.

Raphael Minter
As a writer, researcher, and analyst of centralized and decentralized financial instruments (stocks, commodities, metals, and cryptocurrencies), he started experimenting with...