Cryptocurrency analytics firms stated in recent reports that bullish momentum in altcoin market has begun to weaken significantly.
According to market analysis, while Bitcoin’s dominance remains strong, trading volumes decline again and attempts at upward movements in altcoins encounter resistance at critical 30-day moving average level.
Market analysts argued current uptrend in altcoins has yet to produce strong breakout stating long positions should be closed if prices fall below 30-day moving average. Industry experts said market remains Bitcoin-focused and altcoin rally lost momentum at first major hurdle showing weakness.
Recent analysis stated two altcoins that stand out in current market conditions are BNB and TRX. For BNB, Grayscale’s ETF application, Coinbase roadmap inclusion, and tokenized equity theme serve as significant catalysts. For TRX, Tron’s aggressive treasury purchases and Moscow Exchange’s MOEXTRX index launch represent noteworthy developments.
Market observers pointed out risk of short-term profit-taking has increased in some altcoins. While SUI rose 21% this week, start of CME futures trading on May 29 and $143 million treasury staking data supported its price. Analysts stated investors might turn to profit-taking after this rise creating downward pressure.
For ONDO, first tokenized US Treasury bond repayment process carried out with JPMorgan and Ripple was cited as significant example of corporate infrastructure building. ONDO rose 18.4% in last week according to data. On TON side, security concerns and trust issues arising from deletion of high-profile Telegram account put pressure on price. TON lost 14% of its value as result.
Cryptocurrency analysts advised investors to be cautious about ETH, HYPE, TRUMP, and MKR. Market watchers specifically mentioned recent 9.9% drop in HYPE following ETF launch citing classic example of buy news sell event occurs.
Disclaimer: This article presents market information and trends for educational purposes only. It does not constitute financial advice. Cryptocurrency investments carry high risk including potential total loss of capital. Always conduct thorough research and consult licensed financial advisors before making investment decisions.
