Top 3 Trending Cryptocurrencies, Shiba Inu, Decentraland, Cardano: SHIB bulls hopeful while above 100-DMA

Last Updated December 10th 2021
6 Min Read
  • Shiba Inu remains stuck between two key moving averages amid bearish RSI on the daily chart.
  • Decentraland price could see dip-buying towards the $4 mark if the 50-DMA support holds.
  • Cardano price attempting a comeback despite the death cross, as the daily RSI sees a fresh uptick.

The crypto market is enjoying a fresh buying wave heading into the weekend, although bulls refrain from flexing their muscle ahead of next week’s Fed decision. Bitcoin is gaining recovery momentum but remains below the $50,000 threshold so far.

The broad recovery could be only temporary, with on-chain metrics portraying indecisiveness amongst the cryptocurrencies, which could sap the bulls’ confidence.

The altcoins are picking up on the bullish momentum for now, with Shiba Inu, Cardano and Decentraland looking for a turnaround after the sluggish performance for the last four trading days.

Shiba Inu could continue drawing support from the news that it is now being accepted by Travala. The blockchain-based travel company, backed by Binance, has 2 million hotel and 400 flight listings. tweeted: “Congratulations to @Shibtoken for winning the token battle on #Travala. $SHIB is now listed as a payment method on to book over 3M travel products worldwide.”

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

Shiba Inu price could break higher towards $0.000040

Shiba Inu has been in a phase of consolidation so far this week, looking for a strong catalyst to beak the prison range around $0.0000350.

At the time of writing, SHIB price is trading almost unchanged on the day, close to the abovementioned level, as sellers continue to remain on the sidelines after the previous week’s slump.

From the ongoing price action, it appears that SHIB bulls could come up for the last dance before the correction from all-time highs of $0.0000885 resumes.

Explaining it technically, the price of the canine-themed coin has been moving back and forth in a narrow range, with the upside guarded by the downward-sloping 21-Daily Moving Average (DMA), now at $0.0000409.

Meanwhile, the buyers continue to defend the ascending 100-DMA support at $0.0000311.

The 14-day Relative Strength Index (RSI), however, still lying in the negative territory, a downside breakout appears more compelling.  

Before resuming the downbeat momentum, SHIB bulls could try their luck to challenge the 21-DMA hurdle.

Daily closing above that barrier is needed to negate the bearish bias in the near term. Buyers would then seek entries, which could trigger a fresh advance in Shiba Inu for a test of the horizontal 50-DMA at $0.0000483.

The next relevant upside target for SHIB bulls will be pegged at the November 30 highs of $0.0000543.

SHIB/USDT: Daily chart

SHIB daily chart

On the other hand, if the bears regain control, then a retest of the 100-DMA support will be inevitable.

The falling trendline support, connecting the November 4 and December 4 lows, at $0.0000268 could come to the rescue of bulls, below which the mildly bearish 200-DMA at $0.0000195 will be looked out for.

Read Also: Will 2022 Be A Better Year For Shiba Inu?

Decentraland bulls engaging near weekly lows, calling for a rebound

Decentraland price is testing the bullish commitments on the final trading day of the week after falling for two straight days.

Despite the recent weakness, MANA price managed to maintain Monday’s range, as bulls still seem to contemplate their next attempting.

It can be well observed that MANA bulls have failed to find a strong foothold above the $4 mark while bears continue to face stiff resistance near $3.20.

Currently, Decentraland price is trading at $3.50, posting 1.40% gains on the day, trying hard to extend the rebound from four-day lows.

Looking at the daily chart, MANA price has bounced off critical support at $3.20, which is the upward-sloping 50-DMA. It’s worth noting that the price has not yielded a daily closing below the 50-DMA since October 27.

Therefore, it is critical for MANA bulls to defend it to initiate any meaningful recovery towards the $4 threshold.

Further up, the slightly bearish 21-DMA at $4.25 could come into play, limiting the road to recovery.

MANA/USDT: Daily chart

MANA daily chart

Alternatively, If the critical 50-DMA support gives way on a daily closing basis, then a fresh downswing towards month-long rising trendline support of $2.68 could be in the books.

The next stop for the bearish traders will be the November 10 lows of $2.15, below which the additional declines will kick in towards the ascending 100-DMA at the $2 mark.

Read Also: Pros and Cons of Investing in Decentraland

Cardano price could likely rebound in the tandem with the daily RSI

After Thursday’s sell-off, ADA bulls are licking their wounds, attempting a brief rebound from multi-day troughs of $1.28.

The broad upswing seen across the crypto market this Friday is also saving the day for ADA optimists. Although the price continues to coil up in this week’s trading range, suggesting that sellers could take a breather for now.

That said, the worst doesn’t seem to be over yet for Cardano price but a glimmer of hope has popped after the bulls found some support near Monday’s low of $1.25.

As observed on the daily chart, ADA price is challenging powerful support at $1.27, which is the lower boundary of a two-and-a-half-month-old falling wedge formation.

Meanwhile, the 14-day RSI is seeing a fresh uptick, backing the rebound in Cardano price, which if extended, then an additional recovery towards the weekly highs of $1.50 cannot be ruled out.

Buying resurgence above that level could provide more room to rise for ADA price, as bulls would then aim for the falling trendline (wedge) resistance at $1.56. At that level, the downward-sloping 21-DMA aligns, making it a tough nut to crack for bulls.

ADA/USD: Daily chart

ADA daily chart

However, a daily closing below the wedge support could confirm a downside breakout, calling for a retest of the December 4 lows at $1.13.

The death cross confirmed on December 8 could also play out once again, making Cardano price look a sell-on-bounce.  

The last line of defense for ADA optimists is seen at $1.00, July lows.

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