Disclaimer: The opinions expressed by our writers are their own and do not represent the views of U.Today. The financial and market information provided on U.Today is intended for informational purposes only. U.Today is not liable for any financial losses incurred while trading cryptocurrencies. Conduct your own research by contacting financial experts before making any investment decisions. We believe that all content is accurate as of the date of publication, but certain offers mentioned may no longer be available.
As its price action tries to bounce back from recent losses, Solana finds itself in a vulnerable position. A declining trendline on the chart indicates persistent selling pressure, and buyers are frantically attempting to protect the 26 EMA, a crucial support level. Solana’s failure to break above the descending trendline around $240, where it is currently trading at about $225, is a blatant indication of market participants’ hesitancy.
Investors are now at their breaking point due to this resistance zone, which puts SOL in a precarious position, where any big move could decide its course in the medium term. As of right now, the 26 EMA has served as a lifeline halting additional collapse. Price recoveries during corrective phases have historically been supported by this level, and maintaining above it may cause a retracement toward the $240 descending trendline.
A break above this level would pave the way for a move toward $260, a psychologically significant region that could attract bullish momentum. Conversely, a decline below the 26 EMA, which is at $213 right now, might lead to further declines. The next important support in this case is located at the 50 EMA, which is at $193.
The 100 EMA, which is at $172, comes next. More severe selling pressure would result from a bearish trend reversal confirmed by a breach of these supports. Compared to Solana’s recent rally, volume data shows lower activity, indicating waning interest. Although it indicates neither overbought nor oversold conditions, the RSI is hovering close to neutral, allowing for a reversal or continuation of the current trend.
Shiba Inu keeps its position
Shiba Inu maintains its position as the 26 EMA shows up as a crucial support level. The price most recently tested this level after a period of downward pressure, but it recovered well, demonstrating resilience. SHIB is currently trading at $0.00002817; its ability to maintain above this crucial level indicates the possibility of a short-term recovery.
A crucial point for SHIB, the 26 EMA, has given the asset a basis for stabilization amidst recent volatility. Despite being slow, the recovery has been steady, and buyers have stepped in to protect this level. This indicates that market participants are becoming more confident that SHIB can keep its bullish structure if the 26 EMA keeps serving as support.
Related
Comparing the volume to the peaks during SHIB’s recent rally, it is still quite low. This suggests that even though the asset has escaped a more severe drop, there is still not enough buying power to raise prices. SHIB is not currently overbought or oversold according to the RSI, which is circling close to the neutral zone.
In order for SHIB to resume its upward trajectory, sellers are likely to appear around the $0.000030 level. Rekindling bullish interest and opening the door for a move toward the recent highs around $0.000035 could be achieved by breaking above this resistance. The downside is that a retest of the 50 EMA at $0.00002418 might occur if the 26 EMA is lost as support. If this level were broken, it would probably confirm a bearish shift and pave the way for additional declines.
XRP descends
Following its spectacular rally in November, XRP is still trading in a descending price channel and exhibiting consolidation. At $2.38, XRP seems to be settling in as trading volume declines, which could indicate the beginning of a covert accumulation pattern. A brief correction or consolidation phase during an otherwise bullish trend is frequently represented by the chart’s descending channel.
The fact that XRP was able to maintain this structure without dropping below important support levels suggests that buyers are still holding onto their positions. As a strong support, the 26 EMA has increased the probability of a short-term rebound. It is important to keep an eye on volume patterns in this situation.
Related
A breakout frequently occurs after a period of declining trading activity and persistent defense of lower channel boundaries. In order to target a move toward $2.80 and perhaps retest its previous high around $3, XRP may break above the upper boundary of the descending channel if buying momentum increases.
Conversely, if the current support levels around $2.20 are not maintained, there may be more downside, with the next significant support level located around $1.99. A deeper correction might be triggered by such a move, which would indicate a change in market sentiment.
Since the RSI stays in the neutral zone, it appears that XRP is neither oversold nor overbought. Depending on how market players react to important support and resistance levels in the upcoming days, this puts the asset in a strong position for a major move.