Shiba Inu (SHIB) on Verge of Breakthrough: Unexpected Surge
Shiba Inu (SHIB) Breaks Through Resistance, Signals Potential Surge
The cryptocurrency market is known for its volatility, and Shiba Inu (SHIB) has recently made a breakthrough by surpassing a local resistance level. This achievement sets the stage for a possible long-term reversal and indicates an intriguing pattern that could lead to a surge in its price trajectory.
SHIB/USDT Chart and the Battle with the 21-day EMA
A closer look at the SHIB/USDT chart reveals a fierce battle between Shiba Inu and the 21-day Exponential Moving Average (EMA). The 21-day EMA has historically been a decisive indicator of bullish or bearish momentum for many cryptocurrencies.
Currently, Shiba Inu seems to be testing this crucial resistance level, which signifies a struggle between bears attempting to push the price down and bulls aiming to propel it higher. If SHIB manages to close above this level, traders could expect a newfound bullish momentum.
Importance of Trading Volume
While there is optimism on the chart, it is essential to consider some underlying factors. One notable element is the descending trading volume. Ideally, when a cryptocurrency battles key resistance levels like the 21-day EMA, it should be accompanied by rising trading volumes.
However, Shiba Inu’s decreasing volume presents a contrary narrative, raising concerns about the sustainability of any bullish run. A surge without substantial volume support might be short-lived.
Ethereum’s Struggles and Ambitions
Ethereum (ETH), as the second-largest cryptocurrency by market cap, is a major point of interest for traders and investors. The recent chart reveals a challenging period for Ethereum, with a discernible downtrend. The price movements have been confined beneath a descending resistance line, indicating consistent selling pressure at higher levels.
Yet, hope is not lost for Ethereum enthusiasts. The coin is hovering around the $1,600 mark, historically a significant support and resistance zone. If Ethereum can close above this level and maintain its stance, it could indicate a trend reversal and catalyze further buying interest.
Solana’s Potential Rebound
Solana (SOL) has experienced a remarkable rise in the crypto market, catching the attention of traders and investors worldwide. The recent charts suggest a potential rebound, prompting the question: can Solana repeat September’s growth?
Examining the SOL/USDT chart reveals a budding uptrend, with the price finding support along an ascending trendline. This suggests growing confidence among buyers. However, it is important to note that the current scenario differs from September’s surge, which was fueled by fundamental and technical factors, including the launch of decentralized applications and growing adoption.
While the current chart displays optimistic signs, the magnitude and pace of Solana’s ascent might not mirror that of September.
This article was originally published on U.Today