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Hopes of a rally toward $3,000 were raised by Ethereum's recent 15% price increase but it looks like the upward momentum has encountered a major obstacle. For ETH the 100 EMA has shown to be a strong resistance level and the assets recovery appears to have stalled at this point.
The price of Ethereum is declining after peaking at $2,820 making it more difficult to predict where it will go next. ETH has had difficulty maintaining its upward momentum as the price chart shows especially while it is stuck in the $2,600–$2,700 range.
A further push toward $3,000 is prevented by the 100 EMA which is still above the price and acting as a strong barrier. Ethereum is having a harder time recovering its bullish structure in the near future if there isn't a clear breakout above this level. A major worry at the moment is the absence of strong support below the current price level.
Since ETH is currently trading near $2,622 there aren't many solid support areas to stop the price from falling any lower. Ethereum's next major support is at $2,400 if it breaks below this the price may decline even more, possibly retracing to $2,200.
With diminishing trading volumes and general market uncertainty the chances of a sustained recovery are dwindling. In the short term Ethereum's $3,000 target might have to wait even though its fundamentals are still solid. ETH traders should watch the crucial support levels for the time being because the price might keep declining and reverse the recent gains.
Dogecoin's recovery
Recently Dogecoin saw a huge increase in volume hitting multibillion-dollar levels which might be a precursor to a reversal or continuation of its recovery phase. Indicating that the asset might be encountering short-term resistance at this level, DOGE's price has begun to retrace slightly after rising to a local high of about $0.15.
Even though the asset has retraced the higher volume indicates that there is still a lot of interest in it which could push it higher soon. Following a protracted decline that saw the price of Dogecoin drop sharply from it's all-time highs the cryptocurrency has been in recovery mode.
A potential long-term recovery is suggested by the recent price action and the current volume spike which indicate that investors are returning to the asset. A brief retracement might take place before DOGE resumes its upward trajectory though as it encounters local resistance. One of the most important levels to keep an eye on for DOGE is the immediate resistance at $0.15 where the price is currently stalled. The next target would be around $0.18 where more resistance might appear if DOGE is able to break above this level.
On the downside $0.12 which served as resistance prior to the most recent rally is probably where support will be found. Given the higher volume and price movement which suggest renewed interest in the asset DOGE's outlook seems bright overall. The DOGE may continue to rise toward $0.18 if the $0.15 resistance is broken but additional consolidation may be indicated if it is unable to hold above $0.12.
Shiba Inu substantial surge
Investors searching for the market's next big move are taking notice of Shiba Inu due to its recent dramatic 40% price increase.
After a protracted period of consolidation the price of SHIB has been rising steadily. It has now entered a crucial phase that could decide whether or not this uptrend continues. According to the chart SHIB is presently exhibiting a definite bullish trend and is in an ascending channel. Currently the price is circling around $0.000018 after steadily rising. One important level to keep an eye on is the resistance at $0.000020.
The price may rise as the uptrend picks up even more vigor if Shiba Inu breaks through this barrier. The next major resistance level which is approximately $0.000025 may be approached by SHIB as a result of this breakout. Support levels at $0.000012 and $0.000015 are critical for preserving the bullish structure on the downside. If these levels are not maintained a retracement may be indicated which could result in a correction.
Shiba Inu however is in a reasonably strong position to continue its rally given the current momentum and the price trending above the 50 EMA 100 EMA and 200 EMA assuming the overall market stays favorable.
Dan Burgin
U.Today Editorial Team
