Ethereum
Here’s How Ethereum (ETH) Can Reclaim $3,000, Shiba Inu (SHIB) Finally Hits Strong Support, US Dollar Index (DXY) Gives Up on Beating Crypto
Arman Shirinian
Market remains downtrodden after latest correction, but recovery may be imminent
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Ethereum is currently going through a difficult phase, hovering around the $2,923 mark. This price level is just above critical support at the 200-day EMA at $2,700, which serves as a major psychological and technical stronghold for the asset.
Ethereum has shown resilience near the $3,000 threshold, an extremely important mark. The ability to stay above this threshold can often boost investor and trader confidence, potentially leading to a rebound towards higher valuations.
For Ethereum to reclaim the $3,000 mark and establish strong upward momentum, there are several key factors and market dynamics to consider:
Support Levels: Immediate support at the 200-day EMA of $2,700 should remain firm. If this level is crossed decisively, it could lead to increased selling pressure, pushing the price further down. Maintaining above this support confirms that long-term bullish sentiment still exists in the market. walk.
Resistance to overcome: Looking upwards, the immediate resistance Ethereum faces lies at $3,100, followed by greater resistance at $3,300. Breaking these levels with substantial volume can signal strong buying interest and potentially pave the way for more gains.
Technical Indicators: Investors should monitor the Relative Strength Index (RSI) and Moving Average Convergence Divergence (MACD) for signs of changing momentum or potential reversals. Currently, as the RSI approaches oversold conditions, there could be an opportunity for a rebound if investor confidence improves.
Shiba Inu at the hinge level
Shiba Inu found strong support at a strong technical level. Currently, SHIB has landed on the 100-day exponential moving average.
This support is reinforced by another important support level at $0.000021, a point previously considered a pivotal reversal zone for the asset. The convergence of these two support levels suggests a solid base for SHIB, potentially mitigating further downward pressure.
Adding to the optimistic outlook for Shiba Inu is the increase in trade volume. Growing trading volume amid these key support levels is often interpreted as a bullish signal, suggesting that there may be increasing interest from buyers stepping in to support the price at these levels. This may be a sign of price stabilization or even a possible reversal if buying pressure continues to intensify.
The closest resistance level to watch is at $0.0000225. Overcoming this level could pave the way for further gains, with subsequent resistance possibly forming around $0.000024 in the form of a 26-day EMA. A breakout at these levels, supported by sustained high volume, would confirm an uptrend reversal and could lead to a more robust price recovery.
DXY offers a glimmer of hope
As the US Dollar Index approaches the 106 mark, a critical observation arises regarding its potential as a turning point for long-term trends. Currently, DXY is trading at the highest level since 2023, an elevation that has significantly influenced investment flows, diverting capital from volatile cryptocurrency markets to US dollar-backed investment options. This shift highlights a preference for stability in times of economic uncertainty.
As the DXY approaches this crucial pointinvestors could start seeking higher returns, which could potentially revitalize the cryptocurrency market, which traditionally offers high-risk, high-reward opportunities.
From a technical perspective, the DXY shows strong support at the 104 level, which has historically served as a consolidation point before further moves. Resistance is currently observed near the 107 mark, a breakthrough which could affirm the continuation of the dollar’s upward momentum. However, if the index fails to hold above 106 and is rejected at 107, it could trigger a return to riskier assets, including cryptocurrencies.
A sustained DXY high could continue to suppress crypto markets as conservative investments remain in favor. At the same time, any weakening or reversal of these high levels could signal a return to riskier assets, likely catalyzed by geopolitical developments, changes in fiscal policies or changes in the trajectory of the global economic recovery.
About the Author
Arman Shirinian
Arman Shirinyan is a trader, crypto enthusiast and SMM expert with over four years of experience.
Arman strongly believes that cryptocurrencies and blockchain will be of constant utility in the future. Currently, it focuses on news, articles with in-depth analysis of crypto projects and technical analysis of cryptocurrency trading pairs.