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Shiba Inu has clearly surprised most investors as the meme token breached the psychological threshold of $0.000025, then exploded off the 50 EMA and is now eyeing $0.00003. This sudden surge raises an important question: can SHIB maintain the momentum and reach $0.00003?
Recently, a breakout above the $0.000025 resistance has seen heavy trading volumes, indicating buyer interest. This level is both a psychological resistance as well as a technical resistance where SHIB has struggled in the past. Therefore, a breakout above this level could signal a change in market sentiment and the possibility of further upside.
The 50-day EMA is a very favorable sign for SHIB. Recently, the coin has risen from the support of this moving average, showing a renewed determination to point to the 50 EMA as a strong indicator of bullish sentiment.
However, there are some bullish signs in the move to retest $0.00003. Successive higher lows and higher highs suggest that the stock is on an upward trajectory. A surge in volumes coinciding with the breakout hits the bullish case. Hence, if the buying pressure continues, the upside objective of $0.00003 could be easily realised if SHIB sustains above the 50 EMA.
However, a possible hurdle cannot be ruled out. The $0.000028 area could act as temporary resistance. If SHIB consolidates in this area and builds some kind of base, the case for a further rise to $0.00003 would become even stronger. Another aspect to watch is, of course, the RSI, which is close to being overbought. If the RSI crosses this, we could see a short-term sell-off followed by another leg up.
Ethereum May Be Ready
Ethereum's path to $4,000 has been very favorable, especially when compared to the rest of the market. Unfortunately, ETH stumbled near $3,900 and is currently experiencing momentum issues. However, this may be the calm before the storm as the market remains bullish overall.
After a significant rally that saw ETH break through multiple resistance levels along the way, the cryptocurrency hit a huge wall near $3,900. This area proved difficult to break through, leading to a minor pullback as seen in the previous trading session. For now, the price is in a consolidation pattern near $3,850.
However, some indicators may suggest that Ethereum is now taking a breather: Trading volumes remain relatively high, suggesting that traders are still interested and active.
To pave the way to $4,000, the resistance level at $3,900 will need to be successfully overcome, otherwise, if bearish sentiment towards ETH intensifies, a test of the downward support at $3,750 and even $3,500 will likely hold.
XRP’s struggles
XRP's market journey has been full of questionable moves and problematic situations. Unfortunately, things haven't changed much as the cryptocurrency remains below numerous resistance levels, its price has shown a sideways trend since the beginning of 2024, and the overall outlook for the asset is bleak. Let's analyze why.
The XRP chart story has been a struggle throughout. Every attempt to move up has been hampered by a failure to rise above several key moving averages. The presence of the 50-day EMA, 100-day EMA, and 200-day EMA all pose major obstacles to any significant upward movement, making it difficult for XRP to gain any real momentum. This confluence of resistance levels is making it difficult for XRP to move higher.
Another worrying factor is the continued declining volume trend, which symbolizes a lack of strong enough buying interest. The higher the volume, the harder it will be to break through these stiff resistance levels. Currently, the RSI is hovering in the mid-50s, which is primarily an indication of market indecision and a lack of a clear trend.
XRP will eventually have to break out and then fight to get back on a positive trajectory, which would include a strong and clear move above the 200-day EMA and ride a big volume surge to justify the move.
About the Author
Armand Sirignan
