The recent price action of Shiba Inu has caught traders off guard. SHIB was rejected in early June after briefly regaining the 50-day EMA (around $0.00001418 USDT) after flirting with the 100-day EMA (around $0.00001392 USDT). It is currently trading just above its long-term support at about $0.00001200 USDT.
Investors were not prepared for this narrow trading range, which is positioned between firm support and obstinate resistance after a definite impulse leg higher in May. Buyers are still willing to defend that floor, as evidenced by the bounce off the $0.00001200 level, but it is concerning that there was little follow-through volume on the uptick. Neither side is committing capital in force, as evidenced by the daily volume tapering off.
The fact that SHIB is still below the 50, 100 and 200-day EMA’s — all of which slope downward and support the current bearish trend — makes that especially problematic. Moreover, the RSI presents a cautious image. It suggests that the momentum is still leaning toward sellers as it sits close to 45.
It is probable that a prolonged decline below $0.00001200 would intensify selling pressure and pave the way for a retest of the March lows around $0.00001050. Alternatively the first step toward a real trend reversal would be if SHIB could force a clear close above $0.00001392 over the course of the next few sessions, ideally with a volume pickup.
XRP’s Immediate Surge
Lately XRP has risen sharply, decisively surpassing the 50-day (orange line) and 100-day (blue line) exponential moving averages. This is a significant development because rising above these important EMAs is frequently seen as a technical green light that indicates a possible market recovery and bullish momentum. The price holding above the 200-day EMA (black line) supports the breakout and strengthens a positive technical stance.
The sharp increase has given traders and investors new hope that following a protracted period of consolidation and sideways movement, XRP may be poised for a big comeback. But even though this technical move above important EMAs is encouraging, prudence is still necessary. The price action might still be a fakeout, which is a frequent occurrence in which the price momentarily rises above significant resistance levels before falling back.
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The moderate but not particularly strong volume levels that go along with this breakout suggest that the buying pressure may not yet be strong enough to support a long-term rally. Furthermore, the Relative Strength Index (RSI) is presently in the middle of the 50s, indicating both the possibility of volatility and some space for upward momentum.
Investors should keep a close eye out for confirmation of the breakout. A stronger bullish trend would be indicated by a sustained close above the 50 and 100 EMA on rising volume. On the other hand, overly optimistic traders may be caught off guard if XRP drops back below these averages and swiftly transforms into a bearish breakdown.
Ethereum regains power
Ethereum has risen sharply above the crucial $2,600 price level, indicating the possible beginning of an enormous recovery that many have been waiting for. Following weeks of being trapped in a descending channel, ETH has now broken out and reentered an ascending channel, indicating fresh bullish momentum. The fact that this breakout coincides with solid support from important moving averages makes it noteworthy.
ETH is still comfortably above the moving averages of 50 days, 100 days and 200 days, which have historically served as important support levels during bullish periods. A clear sign that sellers are losing control and buyers are taking over to drive prices higher is the lack of bearish pressure pushing ETH below these levels.
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The recent rally has seen healthy volume, indicating that the surge is supported by actual market participation rather than a transient spike. Right now the Relative Strength Index (RSI) is in the low 60s, suggesting bullish momentum but allowing for some leeway before reaching overbought territory.
After being momentarily tested, ETH was able to maintain its position above the crucial resistance level around $2,800 in the most recent trading sessions. This tenacity supports the argument for a sustained ascent toward the psychologically significant $3,000 milestone. Ethereum would reach a significant milestone if it were to reach this goal, indicating the end of the previous bearish trend and the beginning of a new upward cycle.
