Cardano (ADA) is currently facing significant challenges, struggling to maintain its bullish momentum and falling below key resistance levels. The lack of a breakthrough above the 200 EMA further adds to ADA’s underperformance during this bull run. The convergence of moving averages in bearish territory signals a continuation of the downtrend and weakness in bullish momentum. Holding support around the $0.45 level is crucial for Cardano, as a breakdown below this level could trigger further declines. Moreover, low trading volume indicates a lack of buying interest and suggests that any upward movements may be short-lived.
Shiba Inu (SHIB) is also in a precarious situation, with immense pressure to stay above the 50-day EMA line. Its price is teetering just above this support level and is at risk of a substantial drop if significant selling pressure emerges. With SHIB well below the 100-day EMA and 200-day EMA lines, these long-term indicators do not offer much support. The bearish RSI below 50 indicates a lack of buying strength and suggests that SHIB may continue to drift lower until a significant positive trigger occurs. Regaining and maintaining the 50-day EMA would be crucial for SHIB’s stability and a potential reversal of the current downtrend.
On the other hand, Ethereum (ETH) demonstrates strength and resilience despite selling pressure in the market, attributed in part to the distribution of the Mt.Gox funds. ETH continues to climb and has even tested the $4,000 resistance level. This showcases Ethereum’s growing dominance in the crypto market. ETH has managed to hold above critical moving averages, with the 50-day EMA providing strong support during recent pullbacks. The 100-day EMA and 200-day EMA confirm the upward bullish momentum. Increasing trading volumes following ETH’s recent gains indicate strong buying interest and the potential for the uptrend to continue. The Relative Strength Index above the 70 mark suggests that ETH is in overbought conditions but may still have room for further upside before a pullback is necessary. If Ethereum successfully breaks above the $4,000 resistance level, the next targets would be around $4,200 and $4,400. However, a rejection near $4,000 could lead to a minor corrective move towards the $3,700 support area in conjunction with the 50-day EMA. This would provide a healthy pullback for ETH and pave the way for another attempt to surpass the psychological level of $4,000.