Bitcoin retraces below $100,000 as SHIB approaches its last support level, XRP bucks the trend

After retracing below the psychological $100,000 threshold, Bitcoin has investors wondering if this is a short-term decline or a more substantial change

Bitcoin dropped below the psychological $100,000 threshold on Wednesday as buying steam appears to be fizzling out after a strong rally brought BTC close to its all-time high. As of right now, Bitcoin is trading at about $95,933, down 1.04% from the previous day. The world's largest cryptocurrency by market capitalization had a high of $97,000 during the session. Bitcoin dropped below the key $100,000 level on Tuesday after a round of futures liquidations, which was brought on by a loss of buying momentum.

After a strong rally in late 2024 that established an upward trendline, Bitcoin has now clearly broken out to the downside on the chart. Buyers appear to be losing steam, which indicates a loss of momentum. A noticeable increase in selling pressure has also resulted in significant liquidations in the futures market as overly leveraged positions are unwound. These liquidations have probably accelerated the decline since the market is currently fragile.

Many analysts view this dip as a healthy correction, and Bitcoin is still in a long-term bullish structure despite the retracement. The levels of $92,500 and $87,500 are important support levels to keep an eye on because they might serve as reentry points for buyers. On the other hand, resistance at $100,000 will probably be a major obstacle that will need to be overcome by strong market sentiment.

There are challenges facing the larger cryptocurrency market as well, and macroeconomic uncertainty is one of them. But given Bitcoin's solid foundation — which includes growing institutional interest and adoption — if the market as a whole stabilizes in the upcoming months, the $100,000 mark might be tested again.

The main concern for the time being will be whether Bitcoin can hold onto its present support levels and steer clear of more significant corrections. Because of the continued liquidations and increased volatility, traders should exercise caution. When navigating such market conditions, patience and careful risk management are crucial, as always.

The 200 EMA, the final important support level before a possible deeper market retrace, is rapidly approaching for Shiba Inu. The token is currently trading at about $0. 00002171 after experiencing a precipitous decline of 9.6% in the last day. For SHIB's price action, this level represents a crucial turning point. A quick decline toward $0.00002000, a psychological level that might draw buyers could result from losing the 200 EMA, which has historically served as strong support.

After that, $0.00001750 becomes the next important support area. If neither level is maintained, SHIB may enter previously unheard-of bearish territory and lose most of its recent gains. The level of $0.00002350 is still the first resistance level that SHIB must overcome in order to have any chance of recovering.

A break above this would target $0.00002500, a crucial level for reversing the market's trend toward bullishness. Larger holders' profit-taking and a more general market correction appear to be the main causes of the recent sell-off. Despite its downturn, SHIB's speculative appeal and community-driven nature may pique buyers' interest again if they see the decline as a chance.

The ability of SHIB to hold the 200 EMA is critical going forward. A short-term recovery toward $0.00002350 could be triggered by a bounce from this level. However, if this support is not maintained, a longer downtrend is probably in store, with $0.00001750 serving as the next safety net. Traders should keep a close eye on the next sessions because the token's next course will probably be determined by how it moves around these crucial levels. Because of the ongoing market volatility, it is advisable to proceed with caution.

In contrast to the general decline observed among leading digital assets, XRP is demonstrating exceptional performance as one of the crypto market's top performers. XRP has recorded a 1.49% gain in the last day, trading at $2.32, while Bitcoin, Ethereum and other cryptocurrencies face significant drops. In light of the difficult market conditions, its resilience is even more astounding.

Over the past week, Bitcoin has lost 5.4% of its value, falling below the crucial $100,000 mark. Ethereum, which is currently trading at $3,365, is also experiencing a weekly decline of 8.42%. Solana has also been severely impacted, losing 8.92% during that same period. In light of this, XRP's relative strength is highlighted by its capacity