- April was a less-than-favourable month for the crypto market,
- May likely be more profitable than its predecessor
- The cryptos to watch out for in May are Bitcoin, Ethereum, XRP, Dogecoin and Polygon (MATIC)
Bitcoin started April at around $30,979. And at the end of the month, the cryptocurrency was trading at $28,275, a whopping 8.7% decline for April.
Monday’s decline was the more severe, with the cryptocurrency slumping by 5.2% in a single day and dealing the final blow to April’s chance at being a bullish month.
Will May follow in April’s footsteps and see Bitcoin decline further down? Or does May have something better in store for crypto investors and traders?
In this article, we will revisit some of the top cryptocurrencies to watch out for in May 2023, and how likely they are to perform well, despite adverse market conditions.
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Without further ADO, here are some of the cryptocurrencies to keep an eye out for over the next few weeks.
There should be no surprise that Bitcoin is the first cryptocurrency to be mentioned, for reasons already stated.
The cryptocurrency appears to be hanging by a thread right above the $25,000 support and is currently trading around the $25,500 zone at the time of writing, according to data from CoinMarketCap.
However, overall, in the last week of April, there was a lot of volatility in the price of Bitcoin, which caused it to quickly rise from $27,000 to a multi-day high of $30,000. The leg-up, however, was swiftly and violently rejected, which caused it to drop back to the beginning price.
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It appeared that First Republic’s escalating problems had pushed the cryptocurrency north once more, and BTC once more reached the $30,000 region. However, following yet another rejection, bitcoin entered the weekend at about $29,000, and it wasn’t until late Sunday that it started another price increase.
The Bears returned to the game as soon as $30,000 came back into view. This time, their attempts were more successful since BTC dropped below $28,000 in a matter of minutes.
Overall, Bitcoin is one of the major cryptocurrencies to keep an eye out for in April
The $2,000 mark is a significant psychological barrier for ETH/USD that bulls have repeatedly attempted to cross in 2023 but to no avail.
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On the daily chart, ETH/USD appears to now be testing support around the $1,840 area of the 50-day EMA, which serves as short-term resistance.
Ethereum is an important crypto to keep an eye out for, partly because of its influence over the broader crypto market, and partly because of its current price action around the $1,840 zone.
If Ethereum bounces off this zone in May, a retest of the $2,000 resistance will become possible, followed by a possible breakout.
Despite the ongoing legal dispute with the US Securities and Exchange Commission (SEC), XRP (XRP) is doing well in terms of price action. With a gain of more than 35.11% over the past 30 days, XRP (XRP) is one of the best-performing top 30 cryptocurrencies, according to CoinMarketCap.
With higher lows being formed, the $0.42 support being held, and a favourable lower timeframe viewpoint all suggest that a rise to $0.5 is still possible, followed by a break out of $0.53 (possibly in May).
And as more details of the ongoing legal dispute between Ripple and the SEC drags on, there might be more reasons for explosive gains in the cryptocurrency.
4. Polygon [MATIC]
One of the most well-known layer-2 blockchains at present is Polygon (MATIC). Polygon has dropped 38% from its February 2016 peak of $1.542 and 10% during the past month.
And even though MATIC’s downward trend is still present, many investors looking to stack on a top 10 cryptocurrency may find the current chart to be a good entry point.
According to a tweet from Artemis, Polygon [MATIC] has recently seen a spike in gas use, which suggests higher network utilization.
⛽ Gas usage on $MATIC just spiked in the last week.
We dug deeper with the Blockchain Activity Monitor.
Here's what we found.🧵 pic.twitter.com/YyHlBIwJNo
— Artemis 🏹 (@Artemis__xyz) May 1, 2023
Data from Token Terminal shows that the network was also able to produce additional fees and income as a result of the higher gas use.
Most of this gas usage was from the network’s Defi Dapps, signalling a profitable future for the cryptocurrency and making it a worthy candidate for consideration in May.
With a price of $0.09384, Dogecoin (DOGE) has increased in value by 15% through the year and is now testing an ascending trendline as illustrated below.
Throughout April, Elon Musk, the CEO of Tesla, did a few things that massively boosted Dogecoin’s (DOGE) social engagement, which has contributed to the memecoin’s meteoric rise.
Musk’s Twitter involvement has increased the popularity of Dogecoin (DOGE). And as a result, Dogecoin (DOGE) may increase with Bitcoin in May, if Musk continues to tweet and influence the memecoin.
Disclaimer: Voice of Crypto aims to deliver accurate and up-to-date information, but it will not be responsible for any missing facts or inaccurate information. Cryptocurrencies are highly volatile financial assets, so research and make your own financial decisions.