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Arman Shirinyan

Ethereum fighting for its place on market, successfully breaking through local resistance

Ethereum, the second largest cryptocurrency by market capitalization, is showing signs of life after a period of stagnation. The asset has recently seen a significant rebound, raising eyebrows and hopes alike. While the exact numbers cannot be obtained at this moment, general sentiment around Ethereum is turning bullish.

According to recent data, ETH is priced at $1,619.41, with a 1.79% increase, hinting at a positive momentum shift. This rebound is particularly noticeable as ETH managed to break through the 21-day Exponential Moving Average (EMA), a crucial technical indicator. Although the market remains unpredictable and there is a possibility for ETH to experience a downturn, this rapid growth spurt is a positive signal. It hints at the potential recovery of this widely used network, stirring optimism among investors.

Ethereum chart
Source: TradingView

However, it is crucial to approach this with a balanced perspective. While the recent uptick is undoubtedly a positive sign, it does not entirely rule out the possibility of a downturn. The crypto market is notoriously volatile, and Ethereum is no exception to this rule.

What makes this rebound particularly noteworthy is its timing. Ethereum’s network is the most utilized in the crypto space, serving as the backbone for countless decentralized applications and smart contracts. A resurgence in Ethereum’s price could signify a broader recovery of the crypto market, given its integral role in the ecosystem.

In summary, Ethereum’s recent price performance is a glimmer of optimism in a market that has been craving good news. The breakthrough of the 21 EMA is a positive technical indicator, but it is essential to remain cautious. The asset could still experience setbacks, but its rapid growth is a sign that the most used network in the crypto space might be waking up from its slumber.

Shiba Inu trying to break through

In recent days, Shiba Inu (SHIB) has showcased a resilient stride toward reclaiming its position in the market, endeavoring to breach what once was a support level. A mere two days ago, the asset encountered a setback, dipping below the trendline support level, which, to many, signaled a potential acceleration of its fall. 

However, the latest market data suggests that Shiba Inu is still aiming for a prominent move upward.

The descent below the trendline was a blow to SHIB, but the subsequent activity brings a silver lining. The real-time price data unfolds a narrative of mild resurgence, but whether this is a harbinger of a bullish trend or a temporary respite remains under scrutiny. 

A close inspection of the price action reveals a skirmish between the bulls and bears at the former support level, now a resistance point. The tug of war underlines the crucial phase SHIB is traversing, with every tick potentially altering the course. The fervent community, undeterred by the recent slump, rallies behind initiatives aimed at propelling SHIB back to favorable waters. 

Crypto under DXY’s pressure

The rising tide of the U.S. Dollar Index (DXY) is casting long shadows over the cryptocurrency market, signaling a disquieting phase in market dynamics. This growth of the dollar, often seen as a refuge during turbulent times, underscores the tumult currently besieging the crypto sphere. 

A deep dive into real-time data reveals a stark contrast in the market’s pulse. The dollar’s ascendancy coincides with a discernible tremor running through the crypto market’s spine. Each uptick in the DXY seemingly douses the fiery allure of cryptocurrencies, painting a picture of a market at a crossroads. The dwindling liquidity coupled with reduced volatility is morphing into a repellent, shooing away investors who once flocked to the crypto market in search of lucrative ventures.

The narrative spun by the growing strength of the dollar is not just a tale of two markets but a reflection of global economic shifts. As traditional and digital financial realms intertwine, the repercussions of movements in one echo in the other. The dollar’s current trajectory is a glaring sign of the crypto market’s tribulations, further fueled by a cocktail of regulatory uncertainties and market sentiment swayed by macroeconomic winds.

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