Arman Shirinyan
Things are much more stable now, with the potential for a reversal in the foreseeable future
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XRP could be moving towards a reversal as the asset has drawn a star candlestick morning doji reversal pattern. It is usually the first technical reversal sign for an asset that has been moving down for an extended period of time.
It takes three days for a morning doji star pattern to form. The first day shows a continuation of the downtrend with a long bearish candle. Doji, which indicates market indecision, characterizes the second day. A strong bullish candlestick on the third day, indicating a possible change in momentum from bearish to bullish, closes the picture.
This pattern for XRP points to a potential bullish reversal as it may indicate that the bears are starting to lose ground. After a difficult time for the cryptocurrency market, XRP has recently recovered. Market fears and economic uncertainty have left XRP vulnerable to heavy selling pressure, like many other digital assets.
The formation of a morning doji star pattern offers a technical basis for a potential rally that could attract renewed buying interest. While they can be useful, technical patterns like the doji morning star are not infallible. In addition, investors should consider broader economic indicators, major developments and market sentiment.
The pattern suggests that the asset may be nearing a bottom and that buyers are entering the market to reverse the downtrend. XRP may see a long-term recovery in the near future if the buying momentum continues.
Shiba Inu finds solid ground under his feet
Despite the disastrous performance we have seen for several weeks, the Shiba Inu could still give us some nice surprises as the asset has found some support around the current price level.
To put it mildly, Shiba Inu price action has been turbulent of late. There was a lot of selling pressure on the cryptocurrency, which caused big dips. On the other hand, a near-term stabilization around $0.000015 suggests a possible bottom. This level of support could serve as the basis for a potential recovery if market conditions improve.
Support stems from a number of factors. Initially, SHIB presents a compelling instant buying opportunity for traders looking for quick profits as it has been heavily oversold. An asset that has been oversold often experiences a technical recovery as buyers enter the market to take advantage of lower prices.
This oversold situation gave SHIB some much-needed buying pressure along with a comforting rally across the larger crypto market. The second factor that helped stabilize SHIB is the market-wide retracement.
The intense selling pressure of the past few weeks has started to ease, creating a more stable market environment. Assets like SHIB have stabilized and may even be able to reverse their downtrends as market flows normalize.
Solana stabilization
Solan’s price drop has been brutal, but not as bad as some other assets. SOL has successfully regained some position on the 200 EMA technical support and may move higher if pressure on the crypto market subsides.
The relative stability of Solana is the result of many factors. First, there has been a lot of volatility in the larger cryptocurrency market, with several assets seeing significant declines. Therefore, there is strong underlying demand as Solana managed to maintain its position above the crucial 200 EMA support level.
With SOL now above the 200 EMA, there may be room for upside if the selling pressure in the cryptocurrency market eases. Plus, Solana’s developer community and support offers extra power.
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Arman Shirinyan