XRP Makes Comeback On RLUSD Launch, Shiba Inu (SHIB) Has No Ground Under Its Feet, Solana (SOL) Downtrend Becoming Scary
2024-12-17
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XRP is getting closer to breaking through its descending resistance line, which could signal a recovery. The asset has been battling within a declining trend for the past few weeks, but if momentum keeps building, its recent price movement suggests a potential recovery. XRP is presently trading close to $2.40, which is the level of its short-term resistance. 
A crucial support level for buyers seeking to regain confidence is the price's steady hold above the 50 EMA. A recovery phase may ensue if XRP is able to close above this descending resistance and generate additional upward momentum. Investors should keep an eye on the $2.57-$2.60 range as their first major price target. This zone would indicate a significant breakout from the most recent consolidation phase and is consistent with prior local highs.XRPUSDT Chart by TradingView">
The next significant resistance level for XRP is $2.80 — which saw a significant rejection earlier this month — if it continues to rise in value and volume. A retest of $3.00, a psychological barrier that might induce significant buying pressure, could be possible if this level is broken, further confirming a bullish reversal. The immediate support for XRP on the downside is located between $2.10 and $2.15. 
A decline below this mark would suggest weakness and might push the asset back toward its 200 EMA, which is at about $1.10. A neutral position with potential for growth if buying momentum picks up is indicated by the RSI indicator, which is currently trading at about 50. Although it is still quite low, volume must increase dramatically if XRP is to maintain a breakout. 
Shiba Inu's difficulties
As the price keeps falling, Shiba Inu is having difficulty staying afloat and is exhibiting obvious signs of market weakness. The 26 EMA, a crucial level that once provided support, has been breached by SHIB on the present chart. This breakdown suggests that buyers are not defending the asset at critical levels and that selling pressure is increasing. 
SHIB is presently trading at $0.00002712, where there was a brief period of price consolidation, but the momentum has remained negative. The next immediate support, which coincides with the 50 EMA (blue line), is located close to $0.00002500 if the downtrend continues. 
The $0.00002250 zone, a historically strong support that aligns with the 100 EMA (orange line), could be revisited by SHIB if this level fails to hold. In addition to confirming a wider trend reversal, a breakdown below this level could move SHIB closer to the 200 EMA's resting level at $0.00002038.
Recent sessions indicate a decline in buying interest, which raises additional concerns based on volume data. SHIB is not strong enough to make a significant recovery unless there is a noticeable increase in trading volume. Furthermore, if sellers maintain control, the Relative Strength Index, which is currently at 49, could see further declines.
This indicates neutral to slightly bearish momentum. Any bullish reversal requires SHIB to close above the 26 EMA and regain the $0.00002750 level. It would then be feasible to move toward the resistance level of $0.00003000, but this would necessitate a substantial change in buying volume and sentiment.
Solana's weakness
Solana is displaying signs of weakness as it tries to escape its ongoing downward trend. Following a robust rally in November, SOL has been under growing selling pressure and has been unable to maintain its upward momentum. Right now, Solana is following a distinct downward trend, with lower highs indicating that the market is dominated by bearish sentiment. 
At $217, the asset has now dropped to the 50 EMA, which has served as a short-term support level. Breaking below the 50 EMA could lead to additional declines and possibly test the next support level near $195, so this is a critical point for SOL. The 200 EMA is located at $174, a crucial long-term support area, and if the selling pressure persists, SOL may drop as low as that.
Volume data points to a worryingly low level of purchasing interest. Bulls are reluctant to intervene at these levels, as evidenced by the recent session's lower trading volume. It is more difficult for SOL to break out of its downward trend and retake higher price zones because of this lack of conviction.
Solana needs to break above the descending trendline resistance around $225 in order to recover. If the price closes above this level, it would indicate a bullish reversal and might be able to retest the $240 region. If momentum cannot be recovered here, though, the bearish trend will continue. The momentum is neutral to slightly bearish, with the Relative Strength Index trading just below 50.