Mini Death Cross Formed, Dogecoin (DOGE) Plummeting Finally Stops, Bitcoin (BTC) Actually in Downtrend?

A mini death cross has just been formed by Shiba Inu, suggesting that there may be bearish momentum ahead. An important technical event that has the potential to prolong the current downward trend is the crossover between the 26 EMA and the 200 EMA. This crossover is a significant bearish indicator that frequently signals the beginning of more significant corrections, even though it is not as frequently watched as the 50 EMA and 200 EMA death crosses. 

In a traditional death cross, long-term bearish momentum is indicated when the 50 EMA crosses below the 200 EMA. Though it may serve as a leading indicator for a more significant price decline, the 26 EMA crossing below the 200 EMA indicates short-term bearish sentiment. This crossover indicates that SHIB may be under more downward pressure and is having difficulty sustaining its prior uptrend. 

SHIB is currently trading at about $0.00001942, indicating a modest rebound from its most recent lows. However, a breakout might be challenging due to several resistance levels up ahead. First, short-term resistance at $0.0000206 is in line with the 100 EMA. A stronger resistance level that SHIB needs to breach in order to halt the decline is $0.0000217. The critical level at which SHIB previously lost momentum was $0.0000223. 

On the downside, if selling pressure increases, the following levels might serve as possible support. The most recent local low, which held for a short while before a slight rebound, was $0.0000180. SHIB needs to hold onto $0.0000175, a stronger support level, to prevent another steep drop. The final significant support is $0.0000160; a break below this could lead to a more severe decline. 

This mini death cross formation indicates that unless SHIB can regain $0.0000217, its recovery might not last long. The downtrend may continue if buyers do not intervene, possibly retesting $0.0000180 and below. This crossover indicates a change in momentum that traders should monitor, even though it is not as strong as the 50-200 EMA death cross. In order to ascertain whether SHIB can overcome resistance or continue its decline, upcoming trading sessions will be critical. 

Dogecoin stabilizes

With strong support at the $0.33 level, Dogecoin has finally stopped its recent downward trend. In order to keep DOGE from plunging into more bearish territory, the 100 EMA was instrumental in containing additional declines.

The 100 EMA, which is situated at about $0.33, has been successfully broken by DOGE following a protracted correction. This level has shown itself to be a crucial area of support, keeping sellers from lowering prices. The recent price movement suggests that buyers have defended this region, which could pave the way to a reversal or, at the very least, a stabilizing phase.

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At the moment, DOGE is trading between $0.33 and $0.34, but it must overcome a number of significant resistance levels in order to rise. DOGE must break through the immediate resistance at $0.35 in order to gain bullish momentum. The next level of interest, which corresponds to earlier rejection points, is $0.36. Dogecoin has historically struggled to hold rallies in the $0.38-$0.40 resistance zone. 

The RSI is stabilizing despite the prior downtrend, indicating a waning of selling pressure. The volume has also dropped, indicating a slowdown in the bearish momentum. A slow recovery rather than a further decline could begin if DOGE can keep its position above the 100 EMA.

Bitcoin not climbing up

Given that the cryptocurrency is having difficulty breaking through significant resistance levels, its price action is indicating possible trouble. A short-term downtrend is technically confirmed by the most recent lower high, which came at $104,600 following the local peak of $109,459. There may be worries about additional downside pressure if a string of lower highs indicates waning bullish momentum.

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Bitcoin is still firmly above a number of important support levels, though, in spite of this apparent change. Two important areas of interest are still the 50 EMA at $101,400 and the 100 EMA at $92,464. In the past, these moving averages have served as dynamic support levels, halting more severe corrections. The situation will remain stable if Bitcoin keeps trading above these supports.

Overcoming resistance at $104,600 is the main obstacle facing Bitcoin. Another attempt at $109,459 could be made if there is a clear breakout above this level, which would refute the downtrend argument. A retracement toward the 50 EMA, or even the 100 EMA, might be possible if sellers keep up their pressure. One should not rule out a possible retest of the $99,394 support zone.

Because of its history of stability, a decline below this level might expose Bitcoin to a more severe correction toward the 200 EMA at $82,610. Bitcoin still has a lot of support below, so unless the overall state of the market worsens, a complete collapse is questionable. Bitcoin is at a turning point from a technical standpoint. The outlook will turn bullish if bulls take back control and push above $104,600.