Top 3 Trending Cryptocurrencies, Shiba Inu, Cardano, Solana: SHIB Eyes $0.0000230 As The Next Bearish Target

Last Updated December 20th 2021
5 Min Read
  • Shiba Inu price breaches key $0.0000295 support on the daily chart, as sellers refuse to give up.  
  • Cardano price extends the range play, risks remain skewed to the downside for ADA traders.
  • Solana bears marching towards the critical daily support line after rejection at higher levels. 

Hopes for a Santa rally in the crypto market seem to have dissipated kicking off the Christmas week, as a sea of red prevails this Monday. 

The Omicron covid variant fears combined with the central banks’ hawkish decisions have killed the appetite for high-beta assets such as stocks, cryptocurrencies etc. The pioneer cryptocurrency, Bitcoin, remains heavily pressured below the all-important 200-Daily Moving Average (DMA) at $47,148. 

The altcoins also follow the most dominant digital assets lower, with Shiba Inu and Solana primed for deeper declines while Cardano price is also not far behind its peers. 

Cardano’s IntoTheBlock’s Global In/Out of the Money (GIOM) model suggests waning institutional demand, as the number of large transactions worth $100,000 or more has decreased by nearly 68% over the past month.  

Let’s see how are these three trending DeFi tokens positioned on the technical graphs. 

Shiba Inu bears target $0.0000230 amid bearish technical setup 

Shiba Inu price has been trading in small ranges over the past seven days, in a gradual downtrend from the December 12 peak of $0.0000378.

SHIB bears retain control across the crypto market on Monday, as price falls for the second straight day, finally surrendering the $0.000030 mark.  

As of writing, SHIB price is losing over 5% on the day, meandering near two-month lows below the abovementioned round figure. 

Technically, SHIB price breached the critical near-term support of the December 4 flash crash low of $0.0000295, although traders await a daily closing below the latter to confirm a fresh downswing. 

The 14-day Relative Strength Index (RSI) is heading lower towards the oversold territory, currently standing at 33.84. The leading indicator points to deeper losses in the offing for SHIB price.  

Sellers now target the falling trendline support, connecting the November 4 and December 4 lows, at $0.0000230. 

If the selling momentum picks up pace, then the mildly bullish 200-Daily Moving Average (DMA) at $0.000020 could be threatened.

Note that the bearish streak in SHIB price found legs after it failed to defend the ascending 100-DMA at $0.0000335.

SHIB/USDT: Daily chart 

SHIB/USD daily chart 122021

The near-term negative outlook could reverse only on acceptance above the 100-DMA hurdle on a daily closing basis. 

The bearish 21-DMA at $0.0000361, however, could immediately challenge the bearish commitments, above which the downward-pointing 50-DMA at $0.0000443 could come into play. 

The next bullish target is envisioned at the $0.000050 round figure. Thereafter, the November 30 highs of $0.0000543 will emerge as a tough nut to crack for SHIB bulls. 

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Cardano price: Failed upside attempts recall ADA sellers 

Cardano price faced bullish exhaustion on Sunday, paving the way for ADA sellers to make a comeback on the first trading day of the Christmas week.

ADA price is currently trading at $1.21, down roughly 2.5% so far, as bulls failed to find a strong foothold above the $1.30 level. 

Despite the renewed downtick, ADA price remains confined within familiar ranges, around $1.25, as traders eagerly await for a fresh direction to place aggressive bets. 

On the daily chart, ADA price extends its side trend while traversing within a one-and-half-month-old falling wedge formation. 

ADA bulls have been testing the upper boundary of the pattern but the efforts have gone down the train, as stiff resistance lurks around $1.30-$1.35 price zone. 

That area is the confluence of the bearish 21-DMA and the falling trendline (wedge) resistance. 

Meanwhile, the 14-day RSI is pointing south below the midline, keeping ADA sellers motivated. 

A fresh sell-off could be witnessed should ADA price give a daily closing below the December 4 lows of $1.13.

The further downside will open up towards the July lows near the $1.00 level, below which the falling trendline (wedge) support at $0.77 will be put to test. 

ADA/USD: Daily chart

ADA/USD daily chart 122021

On the other hand, a falling wedge breakout could get confirmed on a daily closing above the aforesaid powerful resistance around $1.30, calling for a fresh upswing towards the bearish 50-Daily Moving Average (DMA) at $1.67. 

Further up, ADA bulls will probe the December highs at 1.78, with eyes on the horizontal 200-DMA pegged at $1.84. That target is the level to beat for ADA optimists. 

Read Also: Cardano (ADA) Price Prediction for 2025 and 2030

Solana price remains vulnerable to incurring deeper losses

Solana price is back in the red zone, having faltered its recovery from two-month troughs on Sunday. 

SOL price stalled its week-long relief rally just shy of the $200 mark following rejection at critical upside barriers.

In lieu of this, a fresh sell-off ensued this Monday, reversing over 25% of the recent turnaround in SOL price. 

From a short-term technical perspective, SOL sellers fought back control after the price once again ran into strong offers above the horizontal 100-DMA hurdle, now at $186.   

The south turn in SOL price now looks to challenge key support at $165, which is the meeting point of the December 17 low and the rising trendline support. 

A decisive break below the latter could expose ADA bears to the two-month lows of $147.

The RSI remains bearish while below the 50.00 level, pointing to the additional downside.

Adding credence to the move lower is an impending bear cross spotted on the daily sticks. The 21-DMA is on the verge of cutting the 100-DMA from above, flashing a bearish signal.

SOL/USD: Daily chart

SOL/USD daily chart 122021

Meanwhile, SOL buyers will regain control only on acceptance above the confluence resistance at $186. 

A meaningful recovery will initiate recapturing the latter, calling for a test of the mildly bearish 50-DMA at $209.

Ahead of that barrier, the psychological $200 mark will probe the additional upside. 

To conclude, SOL sellers remain hopeful and alive as long as Solana price holds below the 100-DMA barrier. 

Check Out: When Is The Right Time To Invest And Sell Solana (SOL)?