The cryptocurrency market digest (BTC, ETH). Overview for 30.05.2022

May 30, 2022

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The BTC has been growing for three days in a row. On Monday, the leading cryptocurrency is rising to $30,550, which is quite a decent result. However, in the medium run, the crypto still looks complicated and dubious.

Over past week, the BTC lost 4.10%, the price secured in a channel between $28,500-$30,500. The support area of $29,000-$30,000 does not look as sturdy as before anymore; however, keeping an eye on it is still necessary. For now, most attempts to secure above %30,000 have failed; the quotes are being dragged down. The situation worsens due to the emotional strain: investors anticipate a crash in the US stock market. There is a correlation between the BTC on the one hand and the S&P 500 and Nasdaq – on the other. If anything goes wrong with the indices, sales will occur in the BTC. Or at least, this is what normally happens.

Quite curiously, over the couple last day, the S&P 500 and BTC lost their correlation. The US index grew by 6.58%, while the crypto market kept selling altcoins. Why so? Most likely, it was due to serious doubts that crypto exchanges will be able to grow by themselves, without additional support. By this trading day, the capitalisation of the crypto market is assessed as $1.198 trillion (losing 87 billion USD over the last week). The BTC share of the market is 46%.

To not lose the upward momentum, the BTC needs to secure above $31,700. If the price drops below $28,000, the way to $20,000 will be open.

This week, Chinese actions towards Taiwan are definitely worth attention. The situation has lots of risk in it. The question is, where and how they will show themselves.

ETH: correction might be successful

The key altcoin is successfully correcting after a decline last Friday. The current level is $1,907; buys have been occurring for three days in a row. It is too early to speak about even a successful bounce off the bottom of $1,702; but if the ETH secures above $1,943, the real decision of the market to buy will be obvious.

Stepn: China is forbidden

The Stepn project that implies earning tokens for walking and running, announced restrictions of the app in China. Access will be closed on 15 June. The decision must be explained by the desire of the company to go by the law: NFT and metaverses in China are considered to provide opportunities for organising financial pyramids.

To use the Stepn app, users need to buy NFT sneakers. Their use will yield the GST and GMT tokens. After the news about leaving China, both coins grew significantly.

The project is based on the Solana and BNB Chain blockchains.

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Forecasts presented in this section only reflect the author’s private opinion and should not be considered as guidance for trading. RoboForex LP bears no responsibility for trading results based on trading recommendations described in these analytical reviews.