XRP’s price action has strengthened recently, suggesting that the death cross that has been approaching for months will not happen. When a short-term moving average crosses below a long-term moving average, it is called a death cross and usually indicates bearish momentum. However, XRP’s recent performance points to a potential reversal.
The 200-day EMA is a key technical level that traders regularly watch and XRP is currently facing resistance. As can be seen from the attached chart, XRP is fighting this important resistance level by hovering around the $0.55 range.
The asset could avoid a death cross if there is a successful breakout above the 200 EMA and a new uptrend starts. Another sign of the decisive point is the converging EMAs.
If XRP can maintain its position above this resistance level, new bullish momentum could be generated, allowing the token to continue rising. Conversely, if XRP fails to break above the resistance level, it could be pushed below, which would increase the likelihood of a death cross. The future of XRP now largely depends on its ability to overcome this significant resistance level.
The asset could either avoid the impending bearish signal and begin a long-term uptrend, or the market could face further selling pressure in the coming weeks. These developments will be determined by future price action. For more clarity on the direction, watch volume and price reaction in the coming days.
Bitcoin Has Finally Done It
Bitcoin just ended a long-term downtrend that began in March 2024 by breaking through significant resistance at $66,000. The long-awaited $70,000 mark could be within reach if this breakout kicks off a long-term rally. But there is one major concern: the low volume of the breakout suggests that buyers are in no rush to increase Bitcoin’s price.
Technically, a break above $66,000 is important, but without significant buyer interest, it is meaningless. Low volume raises the possibility that buyers may lack the momentum needed to sustain a strong uptrend, jeopardizing a potential rally. This reluctance from buyers suggests that there may be obstacles on Bitcoin's path to $70,000.
The $65,900 level is the next immediate support level. The bullish argument for Bitcoin could be further weakened if the price falls back into a consolidation phase if it fails to hold above this level. But if Bitcoin can maintain its price above $66,000 and attract more buyers, there could still be momentum for the price to rise, possibly to $70,000.
Bitcoin is still at a critical juncture right now. Confirmation that buyers are ready to take over and push prices higher requires a significant increase in volume. Otherwise, this breakout could prove to be a false indicator, leaving Bitcoin vulnerable to further downward pressure.
Dogecoin Moving Forward
Dogecoin is making waves as it breaks through significant resistance, suggesting that the meme coin may be about to experience a change in momentum. DOGE has recently been stuck in a double top pattern, a descending pattern that typically indicates bearish price action.
But now that Dogecoin has broken above the key $0.13 level, this pattern is no longer valid. Far from reversing the previous bearish trend, the break above this top suggests that Dogecoin could be preparing for a long-term uptrend. This break is important because it allows DOGE to move higher, especially if buying pressure continues to increase. The next significant hurdle could be at higher levels, which would give buyers an opportunity to push the price even higher once it has broken above $0.13.
Since Dogecoin has reversed course by moving above a double top pattern, which typically indicates weakness, invalidating it is particularly important. This makes room for a more hopeful scenario where DOGE continues to grow. While volatility should always be taken into account, Dogecoin's recent performance suggests that a long-term rally could be within reach.
DOGE could be aiming for even higher levels if buyers continue to buy and push the price above significant resistance levels. However, as the breakout continues, the move above $0.13 is encouraging for Dogecoin fans at the moment and it looks like there is a good chance of further gains. Watch the market reaction in the coming days to determine whether this rally is truly sustainable.