Will Cryptocurrency Prices Soar or Get Stuck in Neutral?

By: cointurk|2025/05/07 01:30:02
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In recent developments, private credit defaults are on the rise, and Trump declared today that he’s not obligated to make tariff agreements. Markets find Trump a troublesome figure due to his unpredictable nature, which even neutralizes his positive steps regarding cryptocurrencies. This article aims to dissect these factors and predict the future movements in the cryptocurrency market. The Rise of Cryptocurrencies Before cryptocurrencies can rise, the environment needs preparation. Despite Trump’s claim of not needing to make trade agreements, economic conditions dictate otherwise. There’s a widespread belief that the Federal Reserve will ignore many crash signals, as incoming data contradicts recession forecasts. Inflation, although currently low, will likely increase due to tariff impacts. However, the Fed seems indifferent regarding employment, as economic stagnation will elevate inflation and unemployment, despite robust job figures. As we approach this crossroads, cryptocurrencies will remain under pressure until the road ahead becomes clearer. A notable perspective comes from DaanCrypto, who highlights the ETHBTC pair. Having shown low volatility for over two years, it is poised for significant activity. Analysts anticipate a relief rally, although the presence of BTC prices above $90,000 diverts attention. Meanwhile, many cryptocurrencies endure painful months, pointing to what might be the bottom. Cryptocurrencies in a Dilemma The news flow discussed earlier lays the groundwork for this situation. Kyle, for instance, reaches the same conclusion by analyzing on-chain data. He believes this impasse will eventually lead to an upward breakthrough. Among the comparatively resilient cryptocurrencies, SOL Coin stands out, as shown above. Ali Martinez highlighted that $120 is a critical level. If altcoins face a larger downturn, one indicator could be breaking support and a strong move toward $98.

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