U.Today – Yesterday it surpassed $70,000 once again, boosting the hopes and dreams of the cryptocurrency market. However, things have changed very quickly as selling pressure increased, leading to a drop below $69,000 for digital gold.
After reaching this milestone, the chart shows that Bitcoin experienced a significant drop. Selling pressure has suddenly increased, which could indicate that investors are taking profits following the recent rally.
As a result, traders may be worried as BTC finds it difficult to maintain its position above important support levels. Bitcoin is currently trading just above its 50-day EMA at around $68,000. The next support level, which is located around the 200 EMA, may be tested if the price is unable to maintain this support level.
The bearish divergence is also visible on the RSI, suggesting that momentum may be waning. Overall, Bitcoin's long-term trend remains positive despite this setback. Perhaps the market was simply correcting ahead of the next leg higher, which is why the recent drop was so beneficial. However, investors should continue to exercise caution and keep an eye out for any further signs of weakness in price action.
The surprising stability
Solana is probably one of the few assets on the market with a stable position at the moment, trading safely at the 100 EMA, around $150. Despite the overall negative sentiment around the asset, SOL is still in an uptrend if we look at the long-term trend, and the current support level may become the basis for a future reversal.
As it remains stable at $150 and aligns with the 100 EMA, the chart demonstrates Solana's resistance. This suggests a strong support level that can serve as a springboard for future gains. Solana has managed to maintain a more stable trading range, unlike many other cryptocurrencies that are experiencing considerable volatility.
Despite the recent market decline, Solana's price action remains bullish when analyzing the long-term trend. The fact that the asset managed to stay above the 100 EMA shows that the bulls are still in control. The RSI also offers a more neutral outlook, indicating that there is potential for an upward move without becoming overbought.
Trader interest is consistent even though trading volume is lower than previous peaks. The idea that Solana could be gearing up for a comeback is supported by volume consistency, particularly if the broader market mood improves.
failed to hold the 100 EMA support level and opened below it during this trading session. The fact that the meme token price is moving below this moving average raises substantial concerns and may be a negative signal for investors. The next support level for the asset is not far away, but it lies below a crucial resistance level.
Shiba Inu in trouble
Shiba Inu is struggling to find support above the 100 EMA, which is bad news for the asset. It appears that selling pressure has increased as the price falls below this support level, bringing it closer to the next major support level, which is around $0.000019.
The RSI is currently near the oversold area, suggesting that the selling pressure could continue. However, if buyers step in to take advantage of lower prices, the oversold situation could also create the possibility of a brief rally.
The volume profile indicates a decrease. It may be difficult for SHIB to make a significant recovery in the near future, as lower volume in a downtrend usually indicates declining buying interest. The declining volume adds credibility to the meme token's pessimistic forecast.
The next significant support, which lies around the 200 EMA, could be tested in less than a week if the current selling pressure persists.
This article was originally published on U.Today.
