I don't know how many albums you can have total. For me, the allowed number of pictures seems to vary from album to album. It was apparently 60 for my first album and 25 for my latest, the only two I checked. I don't know if there's a maximum number of pictures you can have altogether, so that filling up one album would reduce the maximum size of the others.

When I click the "Upload pictures" link, it tells me how many more I can upload to that album. That was where I got the numbers above. I'd think the "Add Album" link would tell you at least when you'd reached your limit, if not before.