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An important resistance level that might have indicated a possible recovery, the 26-day exponential moving average (EMA), was difficult for Shiba Inu to overcome, resulting in a setback. Although there have been early indications of stabilization following a protracted decline, SHIB's failure to get past this obstacle raises questions about its immediate future. SHIB tried to pick up steam after its recent drop, testing the 26 EMA as a potential breakout launch point.
However, another rejection resulted from the asset's inability to produce enough buying pressure to maintain an upward move. This implies that traders are still reluctant to drive the price higher, indicating that bearish sentiment still controls the market. SHIB now faces the possibility of additional downward pressure after failing to break the 26 EMA. The asset is more likely to revisit lower support zones when there is weak bullish conviction, which is indicated by the lack of strong buying volume.
In the upcoming sessions, SHIB might test levels around $0.00001500 or lower if selling pressure persists. In contrast, a future successful close above the 26 EMA might rekindle bullish sentiment and enable SHIB to target higher resistance levels close to the 50 EMA. To achieve this though, a substantial change in market sentiment would be needed, perhaps prompted by a recovery in the cryptocurrency market as a whole or by a rise in investor trust in meme coins.
Bitcoin slowing down
Concerns about the asset's short-term trajectory are raised by the fact that Bitcoin (BTC) is slowing down as its momentum and volatility drop. Bitcoin has been moving in a rather small range over the last few weeks, attempting to hold onto important support zones while avoiding significant resistance levels. Bitcoin is currently trading at about $97,000 with resistance at $98,800 and support close to $93,800.
Given that neither bulls nor bears are fully controlling the market, this range-bound movement indicates that traders are still exercising caution. The idea that Bitcoin lacks the necessary momentum to push higher is further supported by the declining trading volume. A crucial technical metric to keep an eye on is the 50-day EMA, which Bitcoin has not been able to decisively break above.
Tomiwabold OlajideIt may indicate fresh bullish momentum if Bitcoin is able to maintain a move above this level, possibly aiming for the psychological barrier of $100,000. Failing to break through though might lead to more consolidation or even a decline toward the 200-day EMA, which is located around $84,700.
The outlook for the market is still divided; some traders anticipate a breakout while others think Bitcoin may go through a protracted consolidation phase. Until a major catalyst appears, Bitcoin may stay trapped in this range as indicated by the lack of strong directional movement.
Traders should keep a close eye on Bitcoin's capacity to hold above $93,800 in the upcoming weeks. While a significant push above $98,800 might pave the way for another rally, a breakdown below this level might lead to additional declines. Until then, Bitcoin's lack of momentum indicates that it is currently at least temporarily losing steam.
XRP gains momentum
As XRP continues to gain traction, there is conjecture that a significant rally may be imminent. Investors are watching for the potential for another surge after breaking through significant resistance levels. But as XRP gets closer to crucial price points that might determine its next course of action, caution is still advised.
The price of XRP has been hovering around $2.75, indicating a robust rebound. The 50 EMA, which is frequently regarded as a bullish indicator, was recently broken above by the cryptocurrency; $3.00 becomes the next significant psychological resistance to keep an eye on if the price stays above this level.
Arman ShirinyanThe confirmation of a long-term upward trend could come from a successful breakout above $3. A rally toward $3.50-$3.70 is conceivable if XRP keeps up its momentum and volume keeps rising. There may be more upside potential as the relative strength index (RSI) stays in neutral territory. Furthermore, in the upcoming weeks XRP may move into a new range above $4.00 due to sustained investor confidence and optimistic market sentiment.
Even with recent gains, XRP continues to encounter opposition. With $2.50 as a crucial support level, a pullback could result from a rejection close to $3.00-$3.20. The next significant downside target where buyers have previously expressed interest would be $2.28 if this support fails. Stronger bearish sentiment would be indicated by a decline below $2.00.
Dan Burgin
Vladislav Sopov