Is Shiba Inu (SHIB) Done for? Ethereum (ETH) Faces an Important Test, Cardano (ADA) Sees a Positive Trend
The Shiba Inu (SHIB) token has once again caught the attention of investors as they closely monitor its price correction and speculate on a potential rebound. However, with no immediate support levels in sight, uncertainty looms over the future of SHIB. The absence of nearby support suggests that the price might continue to drift until it finds more solid footing.
One positive aspect to note is the current low trading volume, which means that it may require less activity to significantly impact the price. On the flip side, low volume could also indicate a lack of interest, which may hinder price growth. Additionally, there might be subtle selling pressure from holders who are gradually losing faith in SHIB, and this could affect its price when it enters the market.
If SHIB manages to attract buyers and initiate a rally, the first resistance level to watch would be around the $0.00002271 mark. Breaking through this level could lead to the next point of resistance at $0.00002590.
Moving on to Ethereum (ETH), it is approaching a critical moment as it nears the 50-day EMA at $3,413, which is a significant resistance level. This usually invites selling pressure when an asset tests a crucial moving average it has been trading below. However, a breakthrough of the 50 EMA could trigger an acceleration in price growth, indicating bullish control overriding the sell orders at this key level.
Notably, Ethereum has already shown promise by successfully surpassing the 26-day EMA, a positive sign for the cryptocurrency. Should this level become established as new support, it indicates a shift in shorter-term momentum in favor of the bulls. Breaking the 50 EMA might set the stage for retesting resistance near $3,510 and potentially pushing towards higher levels around $3,600.
Meanwhile, Cardano (ADA) appears to be changing its trajectory and venturing into an uptrend. The formation of higher highs and higher lows is a classical pattern that often signals a trend change, even if it’s local. ADA’s recent bounce off the $0.44 mark showcases a strong bullish presence in the market. The consistent series of ascending peaks and troughs on the price chart suggests increased buying pressure. The $0.44 support level has held solid, indicating a strong foundation for ADA’s price and potential for further upward movement.
It’s essential to analyze Cardano’s recent performance in the broader market context, as it is connected to the movements of Bitcoin and Ethereum, along with other altcoins. Cardano is currently approaching a significant resistance level around $0.5, and a battle with bears may ensue for a sustained uptrend. Should ADA pick up momentum and surpass the 200 EMA, a substantial reversal becomes a real possibility.