What to Know:
- XRP faces bearish technical pressure as a death cross pattern resurfaces on its daily chart, potentially leading to further downtrends.
- Ethereum shows signs of a potential reversal against Bitcoin, with technical trends suggesting the ETH/BTC ratio may soon rise.
- Shiba Inu struggles to sustain bullish momentum, trapped between resistance and fading support, with declining trading activity indicating a lack of interest.
The cryptocurrency market is currently grappling with low liquidity and volatility, impacting assets like XRP, Shiba Inu, and Bitcoin. These conditions suggest that significant directional movements may be less likely in the short term. Here’s a closer look at the technical outlook for these three digital assets.
XRP is under pressure as a death cross pattern has reappeared on its daily chart. This bearish signal, where the 50-day moving average falls below the 200-day moving average, often precedes prolonged downtrends. XRP is currently consolidating within a narrowing ascending triangle, trading precariously between resistance around $2.70-$2.80 and limited support below the current price.
Ethereum’s long-term setup against Bitcoin is showing potential signs of a reversal. The ETH/BTC ratio is currently trading around 0.035 BTC, slightly above its 200-day moving average, a level that has historically provided solid support. A tight consolidation pattern on the daily chart suggests that a significant directional shift may be on the horizon, potentially favoring Ethereum.
SHIB is struggling to maintain any bullish momentum, caught between overhead resistance and fading support. The token has been trapped in a declining channel for months, consistently forming lower highs and lower lows. Declining trading activity further underscores the lack of interest from both retail traders and speculative investors.
The cryptocurrency market’s current state reflects a cautious sentiment among investors and traders. While XRP faces bearish technical challenges, Ethereum hints at a potential resurgence against Bitcoin. Shiba Inu, on the other hand, struggles to regain momentum. Investors should closely monitor these technical indicators and market conditions to make informed decisions in this evolving landscape.
Source: Original article
