Bitcoin (BTC) market focus shifts back to Bitcoin as it looks to regain its bullish momentum

The cryptocurrency market's focus has once again shifted to Bitcoin as it looks to regain its bullish momentum. A significant recovery ensued following a steep correction

Cryptocurrency market

The cryptocurrency market's focus has once again shifted to Bitcoin as it tries to regain bullish momentum. A significant recovery ensued following a steep correction that saw Bitcoin momentarily fall below $92,000, driven by the U.S. announcement of a strategic crypto reserve.

Initially, this news brought hope to the market, causing Bitcoin and other cryptocurrencies to rise. However, the rally did not last long. Sentiment quickly changed and became bearish once again as international markets opened. Bitcoin was unable to maintain its upward trajectory when sellers regained control and pushed the price back down.

Now trading at around $92,664, Bitcoin is still moving sideways and struggling to confirm a breakout toward the $100,000 mark. The recent rebound seemed promising, but its quick decline raises the possibility that it was more of a transient response than a genuine recovery. Bitcoin is still trading below crucial resistance levels, and the upward momentum appears to be diminishing.

In order to establish a move toward the psychological barrier of $100,000, Bitcoin must break above $95,000 and remain above that level to validate a reversal. If Bitcoin fails to regain $95,000, there is a greater chance of a decline, with $87,800 being the next significant support level. If this is breached, selling pressure might escalate and push Bitcoin closer to $80,000. Conversely, a clear breakout above $100,000 could reignite bullish sentiment and attract new investors.

Solana's noticeable performance

Solana experienced a sharp price spike, briefly touching $170 before encountering strong resistance and plummeting again. While the move initially suggested a possible breakout toward the crucial $200 level, the rejection indicates that the bulls were unable to sustain the momentum. Despite this, the market is witnessing a surge in trading volume, implying heightened investor interest.

Solana surpassed the 26-day Exponential Moving Average, a key indicator of trend reversals, during its most recent rally. However, the price quickly reversed and fell back below this mark, signifying that sellers still hold the advantage for the time being. SOL is currently trading at around $161, and the immediate resistance is in the $170-$175 range.

Regaining $180 could pave the way for another push toward $200 if buying pressure intensifies. On the downside, the $150 and $140 levels provide significant support. A decline below these areas could accelerate the selling process and result in further losses.

One noteworthy aspect of Solana's price action is the sharp increase in trading volume. This fueled the rally initially, but the steep rejection at higher levels indicates that profit-taking, rather than new purchases, accounted for a large portion of the volume. This leaves uncertainty about whether SOL's rally has sufficient strength to endure or if further declines are likely. Solana's rapid rise and fall highlight the volatility in the market.

Despite the encouraging increase in trading volume, the fact that it failed to stay above the 26 EMA suggests that sellers still maintain control. A sustained move above $170 would be bullish, but another decline toward $150 is possible if SOL continues to struggle at the resistance level.

Shiba Inu encounters difficulties

There was a recent attempt to break above the 26-day Exponential Moving Average (EMA), but the move was a fakeout, once again trapping bullish traders before the price fell back down. As of now, SHIB is trading at around $0.00001410, lacking any significant upward momentum.

For SHIB's price action, a breakout above the 26 EMA is still a critical barrier. The fact that the recent attempt to push higher was quickly rejected indicates that sellers still have the upper hand. If SHIB can manage to regain this level and maintain above $1550, it may move toward $1700 or even $1800.

However, persistent rejection at resistance areas suggests that bullish momentum is still lacking. One of the most concerning aspects of SHIB is the declining trading volume. Although activity briefly increased, volume has been steadily decreasing, indicating a decline in interest in the asset. Without a strong inflow of buyers, any attempts at breakout may lack the strength needed for long-term upward movement.

Bearish pressure is keeping prices low, and SHIB remains in a precarious position. A breakout above the 26 EMA could reignite bullish momentum, but the lack of volume and frequent fakeouts warrant caution. Only if it can regain crucial resistance levels and attract new buying interest will Shiba Inu's chances of a significant recovery become clearer.