31.05.202116:16 Forex Analysis & Reviews: Altcoin market stuck in narrow range amid bitcoin problems and central bank criticism: forecasts

The cryptocurrency market experienced another drop in bitcoin quotes last week, which dragged all the altcoins with it. Over the weekend, the situation again managed to stabilize, the players began to buy back the fall in crypto asset quotes, but in general, the situation has not changed. Major coins continue to fluctuate in their individual ranges, showing no real growth. This is indirectly evidenced by the total capitalization of the crypto market, which again rolled back to the level of $1.68 trillion.

Despite the upcoming network update and great appeal, ethereum is also stuck in the range of $2,200-$2,600. The cryptocurrency is testing the $2,585 mark from time to time, but it has never risen higher over the past few days. Judging by the horizontal charts, the ETH/USD indicators are close to this mark and, given the negative feedback from China, they can overcome it. With this development, ethereum can reach the figure of $2,800, where, having consolidated, the price can storm the mark of $3,000. This scenario is quite likely, taking into account several reasons. First, the narrow dynamics of price changes remain positive (+2%), which indicates greater support for the bulls, which outperform the bears. Secondly, the main altcoin is one of the few assets that can show a movement that differs from the general mood of the market due to its own advantages. At the same time, it is possible that ETH will not be able to gain a foothold above the $2,600 mark. In this case, the cryptocurrency will continue to fluctuate in the conditioned range of $2,200-$2,600, waiting for the momentum and accumulation of critical volume to overcome the psychological threshold.

The Ripple token is also close to overcoming an important milestone. The cryptocurrency again crossed the $1 mark, having risen in price by 14% per day. At the same time, daily trading volumes fell to $5 billion, which can be attributed to the general decline in interest in the cryptocurrency market. In the coming days, the token will continue to move upward and try to reach the $1.2 mark, from where it can move to the more difficult $1.4 mark. However, such a scenario can only take place if the news background is relatively calm. The increased volatility of bitcoin and the entire market contributes to a very painful reaction to any manifestations of negativity. In this case, XRP/USD indicators may retest the support level around $1.

Litecoin indicators are stuck in the swamp of their own insolvency. The cryptocurrency is quoted at around $184, having risen in price by 2% over the day. Despite the positive dynamics of price changes over the past few hours, the only reason for altcoin's optimism is the acceptable price for the entry of new players. In the coming days, the cryptocurrency will try to get to $200, but there are no prerequisites for the fact that the asset will be able to break through a difficult boundary.

The state of the cryptocurrency market is easily explained by the news background, which has become negative on an ongoing basis. Everyone speaks out about the dangers and problems of crypto assets. For example, the CEO of JPMorgan said that he advises everyone to stay away from operations with digital coins. British bank Starling has temporarily suspended the ability for its customers to transfer deposits to cryptocurrency platforms. And rumors of tighter regulation of coins in the United States sound increasingly threatening. Criticism and isolation of the cryptocurrency market are becoming a trend that, ironically, was launched by Tesla. It was Tesla that first suspended the sale of its products for bitcoins, and also criticized the asset for excessive energy consumption. Based on this, the market will need time to adapt and turn the situation in its favor. This will take some time, and then increased volatility and uncertainty will be the companions of the market in the coming weeks.