The crypto market in May showed a mixed bag of results, with Bitcoin prices registering a decline of around 7%. The predominant cryptocurrency also witnessed low volatility, with 30-day volatility dropping to 1.52%. However, such periods of low volatility have only accounted for 19.3% of Bitcoin’s price history, hinting at the possibility of increased volatility in June. Glassnode data has indicated that Bitcoin could rally to $32,000, which is considered its “true cost basis.”
As the US House of Representatives prepares to vote on the debt ceiling, the outcome could provide direction for Bitcoin’s immediate future. A successful vote could cause a knee-jerk reaction to the upside, but if the vote fails, Bitcoin might plummet below $25,000.
In the short term, Bitcoin and select major altcoins are suggesting that bulls might be losing their grip. Critical support levels must be held to avoid a collapse. The overall performance of the top-10 cryptocurrencies remains mixed, with some witnessing potential gains and others struggling to maintain their higher levels.
For Binance Coin (BNB), the bulls must surmount the downtrend line to signal the start of a new up-move, potentially rising to $30,000 and then to $31,000. Conversely, Ethereum is demonstrating a lack of demand at higher levels, and lower levels are attracting buyers, possibly resulting in consolidation in the coming days.
Cardano and Dogecoin are experiencing aggressive resistance from sellers, suggesting weakened bullish momentum. Meanwhile, Polygon’s recovery faltered near overhead resistance levels. Solana has displayed a range-bound action for the past few days, likely leading to consolidation between its moving average support and resistance.
Overall, the current crypto market displays a wide range of outcomes, with some cryptocurrencies preparing for potential upswings, while others face the possibility of decline.
Source: Cointelegraph
