XEC, PYTH, and ZEC are the altcoins to watch | Credit: Veronica Cestari
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Key Takeaways
eCash is boosted by a mandatory network upgrade that activates the Heartbeat mechanism, with resistance near $0.000011.
PYTH faces a $1.1B token unlock on May 21, creating potential short-term volatility, with immediate resistance near $0.050.
ZEC benefits from institutional buying and post-quantum security, forming a bullish pennant with resistance near $742.
Three altcoins have emerged as key cryptos to watch this week, as market indicators suggest growing momentum and the possibility of notable price movements in May’s third week.
But why? In this analysis, CCN reveals which three altcoins they are and why traders should keep an eye on them.
eCash (XEC)
XEC, the native coin of the eCash project, is one of the altcoins to watch next. Notably, this is because the project is scheduled for an upgrade that goes live on May 15, 12:00 PM UTC.
For those unfamiliar, the mandatory network upgrade requires all node operators to upgrade to version 0.33.x to remain in sync and activate the “Heartbeat” mechanism.
Besides that, this matters because the Heartbeat stabilizes block production intervals, improving the predictability of transaction finality.
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Historically, XEC upgrades are neutral to bullish. Interesting, XEC’s price has increased by 12.3% over the past 30 days.
While the rally has slowed down a bit, the technical picture suggests that a notable correction might not be next.
As shown on the daily chart, XEC’s price remains trapped in a long-term downtrend, trading below key Fibonacci levels and beneath a descending trendline.
Holder sentiment indicates limited buying interest, while the MACD shows a slight bullish crossover. This suggests that minor short-term relief could occur.
However, sustained upside seems challenging until $0.000011 is breached, while support around $0.0000064 remains critical to watch.
Pyth Network (PYTH)
For PYTH, it is one of the altcoins to watch due to its token unlock scheduled for May 21. By that period, Pyth Network will release 2.13 billion PYTH tokens valued at over $100 million.
For context, this is one of the largest supply-side events in PYTH’s history, increasing circulating supply dramatically.
As expected, the development could cause high short-term volatility and potential sell pressure.
Ahead of the event, the PYTH price has fallen 13% over the past seven days.
On the daily chart, CCN observed that the PYTH/USD pair is trading around $0.048.
This happened after a recent pullback from a short-term high around $0.051.
In the meantime, PYTH’s price has remained beneath a descending trendline that has contained rallies since late April, highlighting ongoing bearish pressure.
Key Fibonacci levels show immediate resistance near $0.050 (0.618 retracement).
However, support is anchored at $0.036, the swing low from the consolidation period.
In addition, holders’ sentiment is neutral to slightly negative (21.7), with minor outflow pressure reflected in the CMF, suggesting weak buying interest.
Overall, PYTH/USD is in a corrective phase within a downtrend. Therefore, the altcoin needs a clear break above $0.050 to shift momentum to the upside.
Otherwise, further downside toward $0.036 could be expected if selling intensifies.
For instance, Cypherpunk Technologies increases treasury holdings to 314,185 ZE, represeting 1.9% of the coin’s total supply.
This is vital because institutional buying reinforces ZEC’s bullish technical trend, transforming it from a simple privacy coin into a “Private Finance” platform.
Beyond that, the ongoing post-quantum security development through Zcash Open Development Labs (ZODL) may keep ZEC in the spotlight.
Amid that, Zcash’s price has been consolidating after a strong upward move, forming what appears to be a bullish pennant on the daily chart.
This pattern typically indicates a continuation of the preceding uptrend.
As such, a breakout above the upper trendline could trigger a rally toward the next key resistance at approximately $742, which aligns with the previous all-time high.
However, traders might need to apply caution. A daily close below the lower pennant trendline near $530 would invalidate the bullish setup, potentially signaling a deeper retracement back toward $470.
Interestingly, this also corresponds to the 0.618 Fibonacci retracement of the prior uptrend.
Disclaimer:
The information provided in this article is for informational purposes only. It is not intended to be, nor should it be construed as, financial advice. We do not make any warranties regarding the completeness, reliability, or accuracy of this information. All investments involve risk, and past performance does not guarantee future results. We recommend consulting a financial advisor before making any investment decisions.
Victor Olanrewaju is a crypto analyst and reporter at CCN with deep roots in on-chain research and technical analysis. His crypto journey began in 2017, but it was the 2020 Uniswap airdrop that sparked a full-time pivot into the space.
With a foundation in copywriting, Victor honed his craft creating high-converting content for leading crypto brokers — most notably an XRP price prediction that ranked #1 on Google during the 2021 bull run.
He later joined AMBCrypto in 2022, where he combined storytelling with technical and on-chain analysis to cover key market narratives.
In 2024, he expanded his expertise at BeInCrypto, collaborating with analysts and using tools like Glassnode, Santiment, and IntoTheBlock to break down Bitcoin and altcoin trends.
At CCN, Victor covers the top cryptocurrencies, memecoins, macro shifts, blending real-time insights with deep-dive metrics.
He holds a Bachelor’s degree in Physics from the University of Ibadan, equipping him to simplify complex data for a wide audience. Follow his work or connect on LinkedIn or X.
