Nationalist activists are seeking authorization from City Hall to stage their annual Russian March on Nov. 4, when Russia will celebrate National Unity Day.
Slavic Union leader Dmitry Dyomushkin told Interfax that he believed city authorities would reach a compromise with march organizers on Tuesday, when official negotiations are expected to resume on a higher level.
Nationalists are insisting on a march route through the city center, while city officials have proposed a route through one of the capital's southeastern districts.
Dyomushkin said Monday that negotiations had reached "a dead end" and that he had refused to sign an official caution from prosecutors against staging unsanctioned rallies.
The Slavic Union leader said he saw prosecutors' warning as "a tactical move to delay consideration and exert pressure," Interfax reported.
On Friday, Alexei Mayorov, head of Moscow's regional security department, said that authorities considered the Lyublino district to be the best location for the Russian March, which has been held yearly since 2005.
Explaining the decision, Mayorov said central Moscow would be crowded with up to 10 events scheduled for the public holiday. Mayorov also said authorities were suggesting limiting the number of participants to 7,000.
In response, Dyomushkin sarcastically suggested city authorities should limit participants at a popular Muslim holiday.
"I propose City Hall limits the number of participants at the next Kurban-Bairam [Eid al-Adha] holiday in Moscow from 150,000 to 7,000," Interfax quoted Dyomushkin as saying.