XRP has recovered from recent lows and shown indications of recovery. However, a strong bullish reversal cannot yet be confirmed.

XRP has recovered from recent lows and shown indications of recovery. However, a strong bullish reversal cannot yet be confirmed by this upward momentum.

After pulling back from recent lows and showing some signs of recovery, XRP has still yet to confirm a strong bullish reversal with this upward momentum.

For XRP to really regain momentum and enter a long-term rally, it will need to overcome a crucial resistance point at $2.5, which also coincides with the 100-day exponential moving average (EMA). After a drop that saw it move below key moving averages, the asset is now trading at about $2.26, showing some resilience.

The current price action suggests a battle between bulls and bears, with buyers attempting to recover lost ground. While XRP is on the rise, a breakout above $2.5 is needed to validate a fresh uptrend.

The $2.5 price level is significant because it coincides with the 100 EMA, which often serves as a technical and psychological barrier. Historically, there has been a notable shift in trend whenever XRP has traded above this moving average.

A break above it would indicate increased buying pressure and could lead to further rallies towards higher resistance levels, potentially at $3.0. Conversely, failure to pierce through this barrier could result in a retracement or further consolidation.

Traders may lose faith if XRP remains trapped below $2.5, which could trigger another leg lower towards support levels around $2.0 or even the 200 EMA at approximately $1.8.

For XRP to soar, it needs both a technical breakout and strong trading volume to sustain the movement. Although the short-term outlook remains uncertain, traders should keep an eye on how XRP interacts with the $2.5 resistance.

A decisive move above this level could spark an explosive rally, but for now, caution is advised.

Shiba Inu will need more upside to join larger crypto market recovery

Shiba Inu has yet to display the momentum needed for a breakout and is struggling to keep pace with the broader cryptocurrency market's recovery.

Other assets have begun to recover significant resistance points, but SHIB is still struggling under a local descending trendline and appears to be stagnating.

The main issue for SHIB is its inability to generate enough buying pressure to overcome its current resistance levels. The 26-day exponential moving average (EMA) is currently the most important resistance point as it has been acting as a ceiling for the asset’s price movements.

If SHIB fails to pierce through this level, then it is likely to continue trading lower. It seems that the broader market is beginning to favor riskier assets once again, with Bitcoin and Ethereum spearheading the recovery.

However, to sustain upward trends, meme-based cryptocurrencies, such as SHIB, usually require an additional layer of hype and speculation. Without a clear catalyst, the chances of SHIB joining the current market rally are still slim.

SHIB is also dealing with relatively low trading volume, which could further diminish the likelihood of a strong rebound as it indicates a lack of interest from both institutional and retail traders.

Moreover, a look at the historical price action for SHIB shows that major breakouts usually require external factors, such as major exchange listings or burn initiatives, neither of which are on the horizon at present.

Going forward, a clear break above the 26 EMA could open the door for a retest of the next resistance level at $0.00001745. If SHIB fails to pierce through this crucial level, then the price could pull back or it may remain in a prolonged period of consolidation.

As it stands, the asset is still in a precarious position and is not expected to join the larger market recovery just yet.

Ethereum faces large technical hurdle for sustained bull market

One of the biggest losers during the cryptocurrency market downturn, Ethereum is still struggling to generate enough momentum for a comeback.

Despite a recent rally from the lows, the asset still needs to rise by 26% to reach its previous highs and return to bullish territory.

The question now is where will the upside pressure come from. Ethereum is still encountering strong technical resistance, with key moving averages standing in the way of any potential breakout.

The 200 and 100 EMAs are both located well above current price levels, which highlights the severity of the recent sell-off.

In order to even consider a sustainable rally, bulls will need to push ETH above the $2,890 resistance, which is the 100-day EMA.

But Ethereum’s problems run even deeper. As Solana becomes more popular for its cheaper fees and faster transaction speeds, it is draining the once-thriving decentralized finance (DeFi) ecosystem.