The downturn in the cryptocurrency market appears to have paused temporarily, with Bitcoin 
$111,459 stabilizing at $94,800. However, the majority of altcoins remain in the red, leading to gradual yet steady losses over the past few days. The expectation for a rate cut by the Federal Reserve has been postponed until July. But what does this mean for Ethereum (ETH) 
$2,660, Avalanche (AVAX), and Pi Coin?
Ethereum (ETH)
The global economy is in one of its most uncertain phases. Initially, in December, it was anticipated that the Fed would only implement 1-2 rate cuts this year. However, after the tariffs were announced, this expectation increased to three. Following unexpected tariff announcements, turbulence ensued, with expectations now for a rate cut of 125 basis points or more. The earliest now expected is not May or June, but July 30th.
The perception of a rate cut in July stands at an uncertain 79%. This scenario has negatively affected the performance of cryptocurrencies. ETH, experiencing quicker losses than BTC, has seen the ETHBTC pair consistently decline as it missed interim rallies.
We don’t expect to hear any favorable news tomorrow, with Powell likely to underline his influence with hawkish statements, leading to a best-case scenario of lateral movement. The ETHBTC pair has lost the 0.0189 threshold, making a gradual decline to 0.0178BTC plausible. This situation will be challenging for altcoins as well.
Reclaiming the 0.0194BTC level would imply a recovery in the $2,000 spot price. However, an increase in risk appetite in the market seems unlikely without significant developments. Tensions with China persist, and Trump has started attributing market crashes to Biden, rather than his own policies.
AVAX and Pi Coin Predictions
We had anticipated AVAX prices to drop to 19.75 dollars last Friday, and it sits exactly there now. With the negative atmosphere expected to persist temporarily, unless there’s a sudden market upturn, targets of 18.4 and 17 dollars do not seem exaggerated when viewed today.
Pi Coin is set to participate in a major event in the middle of this month. Yet there has been no substantial announcement.
In case of a surprise announcement, we might see a rise to upper wicks of 0.651 dollars. For now, the price appears to be gradually heading towards the range of 0.56 and 0.45 dollars.
