BTC’s price has established the $30,000 mark as support again.
The global cryptocurrency market cap is back above the $1.3 trillion mark.
Altcoins like XRP, SOL, XMR, and MKR could be some tokens to watch out for this week.
The last week brought bearish waves for the larger crypto market, as the king coin’s price slid by almost 30% in the previous ten days to visit the near $25,000 zone for the first time since late 2020.
The BTC-induced losses and the fall of Terra’s LUNA and UST pulled the global crypto market cap down to $1.29 trillion at the time of writing.
However, towards the end of last week, bitcoin’s price started to recover from the $26,000 mark making its way above the $30,000 zone. As BTC trades just under the $30,000 psychological barrier, the current market sentiment remains in ‘extreme fear.’
That said, traditional assets were down too, S&P 500 was down 17% this year, and the Nasdaq was off 27% since January. These losses present the pain for the many investors who took bigger gambles on risky assets.
Source: Alternative
Notably, more than $500 billion evaporated from the cryptocurrency market over the last week as the market cap slipped to a low of $1.2 trillion. Data from the Bloomberg Galaxy Crypto Index (BGCI) suggested that cryptocurrencies delivered negative returns of about 33.9% over the last month.
Nonetheless, at press time, with bitcoin price’s short-term recovery above the $28,500 resistance, most altcoins traded in green, as highlighted in FXEmpire Weekend Wrap. So, as a short-term recovery takes off, let us look at some of the top coins to watch closely over the coming week.
Bitcoin (BTC)
On May 12, the Bitcoin market sold off to $25,400 and within 6% of the realized price ($23,960), as highlighted by Glassnode data. The realized price represents the average cost basis of all BTC and was last visited, only briefly, in March 2020.
Source: Glassnode
The realized price has historically been strong support for bitcoin, and a rebound from the same could lead to short-term gains. However, analysts believe that the price isn’t expected to see parabolic gains soon.
Bitcoin’s price fell to as low as $25,800 over the last week, but pressure from bulls ensured a short-term recovery back to the sub-$29,000 zone. At the time of writing, the top cryptocurrency traded at $30,910, noting a 4.77% price rise over the last day.
BTC Price | Source: FXEmpire
BTC’s recovery above the $28,200 support on May 13 pushed the top asset towards higher highs in the following couple of days. If bulls can ride out the sell-side pressure in the coming days and BTC’s price can settle above the $32,500 mark, the same can provide positive market momentum.
XRP
XRP rallied by close to 9% on Friday, recovering from a 7.44% loss the altcoin recorded on Thursday. After crossing the $0.380 mark, the altcoin saw considerable upside, which came amidst Friday’s SEC v Ripple court date, as reported by FXEmpire earlier.
While long-term key technical indicators for XRP continued to remain bearish, at the time of writing, XRP’s price rallied on the back of BTC’s freshly gained momentum. Additionally, the progress in the SEC vs Ripple case has fueled a bullish sentiment among XRP investors.
At press time, XRP traded at $0.4409, noting 4.20% daily gains, however, the altcoin was still down by 23.27% on the weekly charts.
XRP Price | Source: FXEmpire
XRP’s recovery above the $0.45 mark can further aid bullish momentum. In the short term, if bulls can push prices above the $0.48 mark, prices can see upside. However, volatility would continue to rule the market.
Solana (SOL)
Amid the larger market bounce, Solana gained over 18% in market value in the last 24 hours and traded at $58.68. SOL experienced a brutal crash as its price hit a low of $37 on May 12.
Over the last four days, SOL’s price has made higher lows presenting a bullish trajectory; however, trade volumes maintained low as investors remained cautious. The altcoin’s recovery above the $44 mark aided the positive price momentum.
Going forward, a recovery above the $62 mark would be key to SOL’s price recovery.
SOL Price | Source: FXEmpire
The sudden in buying pressure helped SOL regain the psychological $50 level as support. Buying pressure from bulls as the market embarks on a short-term recovery could push the token higher as technical indicators turn bullish.
Monero (XMR)
Privacy tokens have often turned bullish in response to larger market sell-offs. Monero, at press time, traded at $171.28 noting 11.25% daily gains, however, it was still down by 21.33% on the weekly chart.
XMR has held the psychological support at $145, which aided the coin’s rise over the last couple of days. While RSI for XMR had recovered from the oversold zone and highlighted that buyers were gaining momentum.
XMR Price | Source: FXEmpire
Even though RSI’s uptrend reinforced positive market momentum, sellers still dominated buyers. In the short term, a recovery above the $200 resistance would be crucial for XMR. If the market turns bearish again, XMR could fall back to the $145 zone.
Maker (MKR)
Defi token MKR was one of the top performing altcoins last week, as highlighted in a FXEmpire article. Amid high sell pressure in the larger market Maker Protocol’s MKR token recovered from the last week’s losses as the price pushed above the $1500 mark.
At press time, MKR traded at $1,550.23, noting 0.65% daily losses. MKR had reversed the losses made in the first week of May. With MKR’s recovery above the $1500 mark, sell-side pressure could ease in, giving way to short-term losses.
MKR Price | Source: FXEmpire
In the short term, if bulls can push MKR’s price above the $1650 level, the same could aid MKR’s positive price momentum. However, a bearish downturn could push the price back to the lower $1400 support.
