Cryptocurrency prices had a volatile month in May as investors focused on regulations, interest rates, and energy issues. The Bitcoin price continued to struggle, falling by more than 32%. Ethereum, Ripple, and Binance Coin prices also declined by more than 30%. Let us look at some of the five top cryptocurrencies to watch in June.
- Price: $36,870.
- Market Cap: $690 billion.
The Bitcoin price struggled in May as investors worried about high interest rates in the United States as inflation rose and labour market continued to tighten. The fact that Americans were filing their taxes did not help.
Also, there were concerns that Joe Biden would raise capital gains taxes, which will have an impact on many Americans who own the currency. The BTC also declined after Elon Musk said that Tesla would stop accepting the currency because of energy concerns. Further, there was concerns about regulations in the United States and China.
Bitcoin will be a key cryptocurrency to watch in June because its price tends to influence the movement of other cryptocurrencies. When Bitcoin price rises, other altcoins like Ethereum and Cardano tends to rise as well. In line with this, Bitcoin Cash will also be watched because it tends to have a closer relationship to Bitcoin. I always compare this relationship to that of gold and silver.
- Price: $2,545.
- Market Cap: $294 billion
Ethereum price had a mixed month in May. Earlier during the month, the price surged to an all-time high of $4,388. It then crashed by more than 60% and landed to a monthly low of $1,728. Today, ETH is trading at $2,545, which is 47.5% above the lowest level during the month.
Ether will be in the spotlight in June because of how critical it has become to the cryptocurrencies industry. For one, it is the dominant player in the non-fungible tokens (NFT) and Decentralized Finance (DeFi) industry. The latter industry has seen its total value locked (TVL) drop from more than $90 billion to $63 billion.
Ether will also be watched closely because of potential regulations that could target the DeFi industry. In statement to the Financial Times, the new head of the Office of Comptroller of Currency (OCC) said that the country’s regulators were starting to focus on the industry.
Further, Ether will be in the spotlight because, like Bitcoin, its movements tends to have an impact on the rest of the cryptocurrency industry. Ethereum Classic, which has a close relationship to Ethereum, will also be in the spotlight.
- Price: $1.8395.
- Market Cap: $11.45 billion.
May belonged to Polygon. During the month, the Polygon price soared to an all-time high of $2.7940. This strong trend helped propel the currency to become the 15th biggest cryptocurrency in the world. After rising to an all-time high, the MATIC price retreated by 73% to $0.7428 and then rebounded by 225% to $2.4370.
Polygon jumped in May as more cryptocurrency projects embraced the network. This included projects like Aave, Polymarket, Easyfi, and Neon District among others. Other projects will likely move to the network because of scaling issue.
The token’s price also rose after the launch of the Polygon SDK, a product that is intended to transform the network into a fully-fledged multichain system. It is achieving this by introducing structure to the ecosystem and providing tools to make Ethereum a multichain network.
Further, Polygon gained more visibility after Mark Cuban said that he had invested in the ecosystem.
- Price: $1.67.
- Market Cap: $53 billion.
Cardano will be one of the key cryptocurrencies to watch in May. As you remember, the Cardano price surged to an all-time high of $2.4672 after the Elon Musk tweet on Tesla banning Bitcoin. This rally was prompted by the increasing search for a viable cryptocurrency that uses a proof-of-stake technology. The currency then crashed by 61% and then rebounded to $1.9500.
Cardano will be a key cryptocurrency to watch for two main reasons. First, ADA has become the fourth-biggest token in the world after Bitcoin, Ethereum, and Tether. Therefore, any actions in the network will have an impact on the rest of the crypto industry.
Second, like Dogecoin, Cardano seems to be having significant interest in recent days. Indeed, a look at on-chain data and Google and social media trends show that many people are searching for it. Finally, Cardano recently inked a deal to decentralize education in Ethiopia. Investors will be paying a close attention to this.
- Price: $1.0
- Market Cap: $46.62 billion.
Ripple had a relatively volatile month as investors watched the submissions in the ongoing SEC case. The XRP price rose to $1.77054 in May and then crashed by 62% to $0.6523. It then bounced back by 66%.
In May, Ripple Labs made some key annoucements. The most notable one was the fact that the company had inked several deals with companies like BankDhofar and National Bank of Egypt. It also added Rosie Rios, a former Treasurer of the United States to its board and released its first quarter results. Further, investors will be watching details of a the potential initial public offering by Ripple Labs.
There were several submissions in court on the ongoing litigation. In June, XRP will be in the spotlight since the SEC case will continue.
Other cryptocurrencies to watch in June
Other cryptocurrencies to watch in June will be Polkadot and Solana, which are becoming viable alternatives to Ethereum. Investors will also watch the price of Dogecoin, the memecoin that is now the 7th largest cryptocurrency in the world.