Top 3 Trending Cryptocurrencies Shiba Inu, Ethereum Classic, Cosmos: SHIB Price Contemplates a Fresh Downswing
- Sellers return after Shib price faced rejection above 50-DMA, eyes a break below this key support level.
- Ethereum Classic remains choppy within range below the 21-DMA, bearish RSI offers little hope.
- Cosmos price is prepping up for a big move above the key 200-DMA but buyers still hesitant?
Amid a positive tone seen across the crypto markets this Thursday, the pioneer cryptocurrency, Bitcoin is consolidating for the next push above $40K once again, up nearly 15% so far this week. The altcoins are also following suit, with Ripple looking more promising when compared to the no.2 coin, Ethereum.
The digital assets are trying hard to build onto the Elon Musk-inspired upturn across the board. Tesla Inc.’s founder Elon Musk on Sunday said the company will resume bitcoin transactions once it confirms there is reasonable clean energy usage by miners, which lifted the overall crypto market sentiment.
However, it was the DeFi token Shiba Inu that caught the market’s attention this week, as it rocketed almost 30% on a surprise announcement by Coinbase Global Inc. The leading crypto exchange said that they will that SHIB will be launching on Coinbase Pro. The meme-coin rebounded firmly on the news, as the listing added credibility to the Shib price.
From the DeFi tokens space, Shiba Inu and Polygon (MATIC) remain a few of the top favourites amidst the market participants. The dog-themed cryptocurrency’s technical picture has revived the bullish interests so has the MATIC’s. However, the Polygon optimists remain cautious amid declining whale addresses, as revealed by the supply distribution metric.
Amongst other closely followed altcoins, ATOM (Cosmos) price seems to be rallying, as crypto investors are gradually paying close attention to environmentally-friendly proof-of-stake (PoS) consensus protocol like the Cosmos network.
Meanwhile, markets are preferring Ethereum Classic to Ethereum lately, as Classic is a cheaper way to buy Ethereum as a blockchain asset.
How are the three trending DeFi tokens positioned on the technical graphs?
Shiba Inu: Fades Coinbase listing news-led rally, as bears refuse to give up
Shib price’s rebound from monthly troughs of $0.000005420 gained solid momentum on Tuesday, thanks to the Coinbase listing news.
The spike saw the canine-inspired coin rally to the highest levels since May 24 at $0.00001047, with the price extending its bullish reversal into the fourth straight day.
In doing so, the Shib price cut through the powerful resistance at $0.00008022, which was then the confluence of the mildly bearish 21-daily moving average (DMA) and the falling trendline hurdle.
This led Shiba Inu to confirm a month-old falling wedge formation, as the price stormed through the upward-pointing 50-DMA, then at $0.000009610.
However, the bulls failed to find acceptance above the latter, nudging the bears out of their snooze mode.
What followed over the next two trading days, including Thursday, was a corrective decline, as the sellers now challenge the pattern resistance-turned-support, now located at $$0.000007644.
The 14-day Relative Strength Index (RSI), a leading indicator, points lower while below the midline. This suggests that the bears are likely to extend control in the near term.
Further weakness below the aforesaid key support could propel the price towards Tuesday’s low of $0.000006953.
A failure to resist above the last is likely to trigger a sharp drop towards the falling wedge’s lower boundary at $0.000005143. At that level, the buyers could once again try their luck.
SHIB/USDT: Daily chart
On the flip side, if this $$0.000007644 level holds up, an upswing back towards the 50-DMA barrier (now at $0.000009848) could be very well on the cards.
Further up, the $0.000010 threshold could once again test the bullish commitments.
Read Also: Why Shiba Inu Is Going To Explode
Ethereum Classic: Bearish bias remains intact whilst below 21-DMA
Ethereum Classic continues to trade listlessly, although attempts a tepid bounce after two straight down days.
Despite the upside attempts, the ETC price remains confined within a familiar trading range, lacking a clear directional bias.
However, with the lower highs formed on the daily chart, ETC/USD remains exposed to downside risks.
Also, backing this case, the price has not given a daily closing above the bearish 21-DMA at $61.93 since May 18. Hence, it can be said that the bearish bias will remain intact so long as the above hurdle is cleared on a sustained basis.
Meanwhile, the RSI continues to trend under the 50.00 level, despite inching a tad higher. The momentum indicator, therefore, adds credence to a potential move lower.
That said, a test of the horizontal trendline support at $49.20 remains inevitable if the bears reclaim ground.
The last line of defence for the ETC bulls is seen at the ascending 100-DMA at $46.21.
ETC/USD: Daily chart
A big move higher could be seen if the ETC price recaptures the critical 21-DMA barrier on a daily closing basis.
That could pave the way for a fresh uptrend, with the immediate supply zone awaiting at the bullish 50-DMA at $72.99.
Up next, the horizontal dashed trendline at $78.35 could offer stiff resistance to the ETC optimists.
Cosmos: Bulls lacking conviction amid a powerful upside hurdle
ATOM price is on a six-day gradual recovery, although the follow-through upside bias is seen fading into a critical resistance.
Even though a pause in the latest recovery, the ATOM price remains on track to post a weekly gain after falling hard a week ago.
ATOM/USD’s daily chart shows that the bulls try another attempt to regain control after forming spinning top candles for the two consecutive sessions.
However, the price quickly reversed the uptick after it failed to chew strong offers at $15, where the horizontal 200-DMA aligns.
Rejection at that level knocked off the rates back below the 21-DMA support now resistance at $13.61, where ATOM currently wavers.
The ATOM bulls need a daily candlestick closing above the 200-DMA, in order to revive the recovery momentum from weekly lows of $10.70.
The next significant upside target for the buyers is seen at $17.33, the horizontal trendline resistance. The bearish 50-DMA at $17.98 will be then on the bulls’ radars.
ATOM/USD: Daily chart
However, with the daily RSI still trending within the bearish zone, any further upside attempts could appear short-lived.
On the downside, immediate support is envisioned at Wednesday’s low of $11.96, below which the sell-off could extend towards the $11 round figure.
Further, the weekly low could be put to test once again if the bears refuse to give up.