These 3 Altcoins Plunged the Hardest in May — Why

Key Takeaways

• XDC led the altcoin losses with a 24% drop; If bearish momentum continues and support breaks, the price could fall to $0.053
• Sonic lost 20% in May and trades below key EMAs — a bearish EMA crossover (death cross) suggests more downside to $0.37.
• Celestia’s price saw a 15% monthly decline and remains in a descending triangle, with the AO indicator showing bearish pressure.

May was full of ups and downs for the crypto market, particularly altcoins. While Bitcoin (BTC) soared to a new all-time high, many altcoins failed to keep up, with several plunging into double-digit losses.

In this breakdown, CCN spotlights the top altcoin losers from the largest 100 cryptos in terms of market cap. We also disclose why these tokens struggled and what could lie ahead for their prices.

XDC Network (XDC)

Leading the pack of top altcoin losers is XDC, which has seen its value plummet by 24% over the past 30 days.

This price action contradicts the cryptocurrency’s performance in January. During that time, the altcoin jumped to $0.14. But as of this writing, XDC’s price is down to $0.060 after undergoing a multi-month correction.

From the chart below, it is evident that bears played a role in pulling XDC’s price down. As a result of this, the cryptocurrency is trading within a descending triangle.

As long as the Bull Bear Power (BBP) remains in negative territory, then XDC’s price is unlikely to experience a recovery. If that is the case, then the altcoin might drop below the horizontal support at $0.060.

A move below this threshold might drive the price down to $0.053. In a highly bearish scenario, the market value might decline toward $0.045.

On the flip side, if bulls take charge, this prediction might not come to pass. In that case, XDC might break above the upper trendline of the descending triangle.

If that is the case, it might no longer be among the top altcoin losers for June while climbing toward $0.10.

Sonic (S)

Formerly known as Fantom, Sonic (S) is also among the top altcoin losers for May. During the month, the S price plummeted by 20%.

From a technical perspective, Sonic has struggled to recover as its price remains stuck below key Exponential Moving Averages (EMAs). At the time of writing, the altcoin trades at $0.41, below both the 20 EMA (blue) and 50 EMA (yellow).

To make matters worse, the 50 EMA has crossed above the 20 EMA, forming a bearish “death cross,” a sign that precedes further downside. If this setup holds, Sonic could slide toward $0.37.

Conversely, a bullish reversal in the form of a golden cross could invalidate this outlook. Should that happen, the altcoin might rally toward $0.57.

Celestia (TIA)

TIA, the native coin of the modular-blockchain project Celestia, is also one of the top altcoin losers of May. Within the past 30 days, TIA’s price has dropped nearly 15%. while trading at $2.37.

This decline has kept TIA’s price trapped in a descending triangle. By the look of things, the altcoin is unlikely to exit this bearish pattern soon.

For instance, the Awesome Oscillator (AO) has dropped to the negative zone, indicating bearish momentum. If this remains the case, Celestia’s price might drop below the horizontal support line at $2.35.

In that scenario, TIA might slide below $2. On the contrary, if TIA’s price breaks past the upper trendline of the falling trendline, this prediction might not come to pass.

If that were to happen, Celestia might jump to $3.84. If buying pressure intensifies, it could climb to $4.88.