Critical resistance zone emerges for Bitcoin
After a sharp breakdown from the $75,000 to $78,000 range, Bitcoin saw a wave of heavy selling that drove its price down toward the $60,000 region. Although a subsequent bounce has drawn attention, Bitcoin still trades below its 20, 50, 100, and 200-day moving averages, indicating that sellers continue to hold the upper hand for now.
The current Bitcoin rebound appears to be a short-lived reaction within a wider downward trend, rather than a clear signal of trend reversal.
The most crucial resistance area for Bitcoin lies between $67,000, marked by the 20-day exponential moving average, and $74,000, defined by the 50-day simple moving average. For buyers to reclaim control, Bitcoin will need to establish itself above this range. Until that happens, any upward move may simply present selling opportunities for those looking to exit the market.
The Relative Strength Index (RSI), a popular gauge of price momentum, has recovered from oversold territory and is nearing the neutral 50 level. While this hints at a weakening of downward momentum, it does not alone confirm the start of a new uptrend. The $60,000 zone continues to act as a major support level; if it fails, deeper declines could become a risk once again.
SOL bounces back, but technical risks linger
SOL continues to trade below all its key moving averages. The 20-day exponential average near $74 to $75 serves as immediate resistance, with the 50-day and 100-day simple moving averages at $81 and $85, respectively, creating further upside barriers. The 200-day moving average at around $102 signals that SOL remains far from reestablishing a strong longer-term position.
The RSI has recovered from oversold levels, suggesting selling pressure has eased in the short run. However, the indicator has yet to provide a decisive signal in either direction. If SOL breaks and holds above $75, it could target a move towards the low-$80 region, but failure to clear resistance may see another test of the $63 to $65 support area.
Volume supports XRP’s bounce, SHIB structure stays weak
XRP attempted a rebound after breaking down from a months-long descending triangle pattern. The token had been squeezed between a sloping resistance and $1.25 support before sellers pushed it as low as $1.05 to $1.10. Buyers returned soon after, and XRP now hovers back within its previous $1.22 to $1.25 support zone, although the overall trend remains close to negative territory.
The sustained high trading volume during both the XRP selloff and subsequent recovery signals that the move could be more than a mere technical bounce.
XRP, too, trades below its 20, 50, 100, and 200-day moving averages. Its first major hurdle is the 20-day exponential average, followed by the stronger resistance between $1.32 and $1.38 (the 50-day simple moving average). With the RSI above 50, price momentum appears to be picking up, but a break above the 50-day average is needed for confirmation of a lasting trend change. As long as the price stays above $1.22, a move towards the $1.35 to $1.40 range remains possible.
Among the assets analyzed, SHIB shows the weakest technical profile. After forming an ascending wedge over several months, SHIB broke lower and plunged towards its recent lows at $0.0000045. While it has since bounced back to $0.0000051, analysts note this move is early and remains unconfirmed. The 20-day exponential moving average has emerged as immediate resistance, while reclaiming the broken wedge’s support zone between $0.0000055 and $0.0000057 is seen as a short-term target.
Disclaimer: The market is risky, and investment needs to be cautious. This article does not constitute investment advice. Users should consider whether any opinions, views, or conclusions in this article are in line with their specific circumstances. Investment based on this is at their own risk.