Top 3 Cryptocurrencies To Watch This Week, Shiba Inu, Cardano, Polygon: SHIB Bears Still Target $0.000020 

Last Updated March 7th 2022
5 Min Read
  • Shiba Inu price sees a dead cat bounce amid a rising channel breakdown on the 12H chart. 
  • Cardano bears are biding time before resuming the downtrend towards yearly lows of $0.747.
  • Polygon price looks vulnerable, as MATIC bears continue to lurk at 21-DMA while death cross remains in play.

Finally, some respite for the market, as Germany said a self-initiated energy embargo against Russia does not appear advisable for the sustainability of sanctions against Russia at present.

Risk sentiment improved on the above headlines, with investors looking to return high-beta assets such as cryptocurrencies.

Earlier on, the Russia-Ukraine crisis intensified after the US said it is contemplating banning the Russian oil imports, which oil prices through the roof and dented the investors’ appetite towards riskier assets. 

Bitcoin, the flagship cryptocurrency, moved closer towards the $40,000 mark while Ethereum recaptured $2,600. The same upbeat mood was reflected across the altcoins, as investors took the turnaround in the risk sentiment as an excuse to take profits, given the recent declines. 

Amongst the DeFi tokens, Shiba Inu, Cardano and Polygon are likely to draw attention this week. How are these coins positioned on the technical graphs?  

Shiba Inu bears take a breather before the next downswing kicks in

Shiba Inu price is peeping in the green zone for the first time four trading days, kicking off a new week on the right footing, tracking the positive change in risk sentiment across the crypto board.

In doing so, SHIB price is staging a modest comeback from an eleven-day low of $0.0000226 reached early in the day, as bulls look to recapture the $0.0000250 mark.

At the time of writing, the canine-inspired meme coin has recovered entire losses to trade flat around $0.0000235, having booked a 0.43% gain in the previous week even as volatility remained sky-high.

Looking at Shiba Inu’s 12-hour chart, the latest rebound in the price could likely be only a dead bounce, as the technical setup remains in favour of bearish traders.

The dog-faced altcoin spotted a rising channel breakdown, with the same confirmed following a 12- hourly candlestick closing below the ascending trendline support at $0.0000235.

In lieu of this, the bearish potential remains intact, with a test of the pattern target of $0.0000156 likely on the cards in the coming days.

Ahead of that, SHIB bears will retest the eleven-day lows, below which sellers will create fresh trading opportunities towards $0.000020 – critical cap.

The Relative Strength Index (RSI) is seeing a fresh uptick but continues to hold below the central line, suggesting that bears will retain their reins going forward.

SHIB/USDT 12-hour chart 030722

SHIB/USDT 12-hour chart. Source: TradingView

On the road to recovery, the immediate upside barrier is pegged at the channel support now turned resistance at $0.0000237.

If the latter is taken out convincingly, the SHIB buyers will look to reclaim ground above the descending 21-Simple Moving Average (SMA) at $0.0000248. 

Powerful resistance at $0.0000250, the confluence bearish 50-SMA and psychological number, will be put to test. 

Related: Should You Buy Shiba Inu? 5 Pros, 5 Cons

Cardano price remains a ‘sell the bounce’ trade

Cardano price is rebounding firmly on Monday, having found sold buyers near the $0.80 region in the last hours. 

ADA bulls have fought back control after Sunday’s bearish closing, as they continued to run into stiff resistance at $0.88. 

The so-called ‘Ethereum-killer’ is bouncing nearly 2.50% from eleven-day lows of $0.803, in yet another effort to conquer the $1 threshold. 

The renewed upside could be seen as a bout of buying resurgence after the ongoing downbeat momentum seen so far this month. Although it could remain short-lived, as Cardano’s technical picture continues to paint a bearish picture. 

The mildly bearish 21-SMA needs to be scaled on a 12-hourly candlestick closing basis to initiate any meaningful recovery from eleven-day troughs. That hurdle is aligned at $0.892.

If ADA bulls flex their muscle further out, then their strength could be challenged by the bearish 50-SMA at $0.951. 

Further up, the critical $1 level will be back on the buyers’ radars, as that point coincides with the support now resistance of a rising wedge. 

ADA/USD 12-hour chart 030722

ADA/USD 12-hour chart. Source: TradingView

It’s worth mentioning that the downside remains compelling, despite the recent recovery, as the bearish wedge formation continues to remain in play, keeping sub-$0.80 levels exposed. 

The RSI is spiking, at the moment, but bulls are unlikely to capitalize as the leading indicator trade within the bearish territory below 50.00.

Therefore, any rebound is likely to be sold-off into the ongoing bearish momentum, as the focus remains on the patter target measured at $0.783.

The last line of defense for ADA bulls is seen at the February 24 low of $0.747. 

Related: Cardano (ADA) Price Prediction

Polygon price attempts a bounce but not out of the woods yet

Polygon price is following the latest bid wave witnessed across the crypto board, recovering half the previous decline, as bears take a breather this Monday.

After a dismal end to the previous week, MATIC bulls look to try their luck once again, as it attempts a bounce from $1.388 - the lowest level since February 24.   

MATIC price is currently trading at $1.485, eyeing a sustained move above the $1.50 mark while adding 3.5% on the day. 

From a short-term technical perspective, the downside remains intact for MATIC price so long it holds below the bearish 21-Daily Moving Average (DMA) at $1.553.

Meanwhile, sellers remain hopeful, as the 14-day RSI keeps its range below the midline, indicating the latest pullback could yield a good selling opportunity for the ones who felt left out a week ago.

The 50 and 200-DMAs death cross that got confirmed on March 3 remains in play and favours the additional weakness ahead.  

A firm break below the daily lows will kickstart a fresh downswing towards the falling trendline support at $1.214, which will be the line in the sand for Polygon optimists. 

MATIC/USDT daily chart 030722

MATIC/USD daily chart. Source: TradingView

On the flip side, recapturing the 21-DMA barrier will reopen the upside towards the downward-sloping 50-DMA at $1.676.

The next significant bullish target is envisioned at the slightly ascending 200-DMA at $1.732.

Related: Polygon Price Prediction for 2025 and 2030