Current And Future Price Movements On The Cryptocurrency Market: Analysis And Forecasts
For Bitcoin, May was marked by an ongoing struggle to break through the $10,000 barrier. But despite the expectations of the crypto community, the flagship cryptocurrency was only able to approach the cherished mark. The paradox is that as soon as Bitcoin focuses on the range of about $9,700, the bullish momentum loses its strength – and the price reverses.
As before, Bitcoin has not yet justified the high stakes that many analysts associated with halving. Analyzing market behavior, experts agree that in May Bitcoin was moving along a sideways trend. Nevertheless, the index of crypto fear and greed over the past 7 days increased by 9 points. This may signal that traders are preparing for the mass sale of a crypto asset.
On the other hand, we could observe how for the month Bitcoin interest from institutional investors increased. A clear confirmation of this is the purchase by a leading player in the investment market by Grayscale Investments of about 19,000 Bitcoins. Moreover, this figure is dominated by the number of new blocks that have been mined since the Bitcoin halving on May 11.
A massive outflow of flagship cryptocurrency from exchanges was also recorded. This suggests that the whales accumulate Bitcoin for subsequent sale at an increased price.
At the beginning of May, the crypto community was seriously excited by the reduction in the hash rate in the Bitcoin network. But now it seems that the situation has stabilized. After halving, weak miners gave way to more efficient and productive players. Thus, a healthy ecosystem began to form in the Bitcoin network, and this can positively affect the market behavior of the flagship cryptocurrency.
What happens to altcoins?
There is a positive trend in the altcoin market. In particular, the bullish mood was demonstrated by the leading coin Ethereum (ETH). Over the past month, this cryptocurrency “paused” in the price range just below $200, and many traders expected with bated breath when a bullish momentum will set an upward movement for the coin.
Over the past week, the growth of ETH was 18%. The crypto asset was able to overcome the price threshold of $200 and is now fighting for a resistance level of $250. The cryptanalyst under the pseudonym WhaleAlert reported impressive news: on May 31, a transaction was conducted for almost $275 thousand ETH (almost 65 million USD). Earlier, such large transactions with Ethereum were not seen, which may indicate that the crypto asset is gaining popularity.
Other altcoins, which are in the top 10 coins rating, also showed bullish growth. In particular, the price of Cardano (ADA) during the week its price increased by 53%. The upward price movement in the cryptocurrency market causes an optimistic mood among analysts and may become an impetus for a new stage in the development of the crypto industry as a whole.