© Reuters. Shiba Inu (SHIB) Fails Fast, Ethereum (ETH) Loses Traction, While Solana (SOL) Presents Hidden Opportunity
U.Today – has experienced a significant collapse since its recent consolidation phase. The chart shows a clear downward trajectory as SHIB failed to maintain its position within the ascending triangle pattern it had formed over the past few months.
The breakout was signaled when SHIB prices broke above the key support level at $0.000009, which had previously acted as a reliable floor for the price during consolidation phases. Following this, SHIB prices fell further, cutting the subsequent support near $0.0000087. This price action marked a decisive shift in market sentiment from accumulation to distribution.
SHIB/USDT chart by TradingView The next support level to watch is $0.0000082, where SHIB may find temporary respite from selling pressure. If this level does not hold, the next critical support lies at $0.0000076, which could serve as the last line of defense before a more significant decline.
For a reversal to occur and for SHIB to regain its bullish momentum, it would need to reclaim previous support levels and transform them back into supports. This would require a substantial influx of buying pressure, potentially triggered by positive developments within the Shiba Inu ecosystem or broader rallies in the cryptocurrency market.
The first sign of a possible reversal would be a return above $0.0000087, followed by a sustained move above the $0.000009 price level. A break above these levels, accompanied by increased volume, could indicate that the downtrend is losing steam and the bulls are regaining control.
painting reversal pattern
Solana has been developing a subtle but potentially pivotal chart pattern. The asset has been tracing a slow and steady ascending channel, a formation that suggests a controlled and consistent uptrend. This pattern, characterized by higher lows and higher highs contained within two parallel trend lines, speaks of potential for continued growth.
The importance of this pattern lies in the boost it could provide to SOL. If the price action remains strong within the upper half of the channel, and particularly if it challenges the upper trendline, we could see Solana break through and embark on a more aggressive rally.
Such a bullish scenario would likely be supported by increased trading volume and positive developments within the Solana ecosystem, such as new project launches or upgrades that improve network performance.
Immediate local resistance lies around $55, and a confident push beyond this figure could confirm the bullish sentiment. Conversely, if Solana price falls below the lower boundary of the channel, around $48, it could indicate that a bearish narrative is taking hold.
decreasing momentum
Ethereum is showing signs of waning momentum, as seen in recent price movements. The asset, which has long been considered the backbone of the decentralized finance sector, is facing a crucial moment that could determine its trajectory for the coming weeks.
The chart provided illustrates Ethereum's struggle to maintain its dominance in the market. The price has continued a downward trend, approaching the local 26-day exponential moving average. This level, currently near $2,465, is critical; If Ethereum fails to hold this line, we could see it decline to test the more significant 50 EMA, which sits around the $2,300 mark.
The 26-day EMA serves as a short-term sentiment indicator and its break could indicate a lack of immediate bullish support. If this level does not act as a springboard for price recovery, Ethereum's next stop could be the 50 EMA. A break below this long-term moving average could potentially open the doors to a test of lower support levels, highlighting the need for investors to prepare for increased volatility.
Market participants are now recalibrating their expectations, understanding that the path to sustainable profits is a long-term journey.
This article was originally published on U.Today.
