Bitcoin Price Movement

The recent price movement of Bitcoin emphasizes the challenges to reach the elusive $100,000 threshold. Substantial market liquidations totaling $1.58 billion over the last day have hindered Bitcoin from maintaining momentum above this crucial psychological level. Short-term corrections persist despite Bitcoin’s promising long-term prospects.

Major Setbacks

A key factor in this setback was the recent liquidations, where positions with excessive leverage in Ethereum and Bitcoin forced market adjustments. Selling pressure from leveraged longs created a difficult environment for upward movement, evidenced by $172 million in Bitcoin liquidations alone. This highlights the risks of unmanageable leverage within cryptocurrency markets.

Technical Analysis

Technically, Bitcoin is currently receiving support at its 26 EMA, a level that often acts as a rebound point during corrections. However, the inability to hold above $100,000 indicates a lack of bullish conviction, with trading volume remaining lower compared to previous rallies, suggesting less buying interest.

Despite these hurdles, the overall structure of Bitcoin remains bullish. The developing consolidation pattern indicates a temporary pause rather than a full reversal. Support levels of $94,000 and $85,000 could act as foundations for a stronger recovery, while $100,000 remains a significant resistance level that, once breached, could trigger new momentum.

While the journey to $100,000 faces delays, the current market reset offers a chance for Bitcoin to build a stronger base, emphasizing the importance of patience among investors.

Dogecoin's Setback

Dogecoin has faced a severe setback, losing its upward momentum and dropping below the critical $0.40 level, a significant technical support point. Currently trading at about $0.39, growing bearish pressure indicates a shift in sentiment.

The breakdown from the ascending channel suggests that Dogecoin's bullish rally may have peaked for now. Declining volume trends signal waning interest, consistent with the broader market correction affected by overleveraged positions and profit-taking.

Technical Support Levels

Key support levels to watch include $0.31 and $0.27. Dogecoin needs to maintain these levels to prevent further losses and potentially regain stability. A recovery above $0.40 could reignite bullish sentiment, but it remains critical for Dogecoin to navigate carefully through market fluctuations.

Shiba Inu's Decline

Recent price action for Shiba Inu shows a sharp fall, breaching vital support levels and entering a risky phase. Trading at approximately $0.00002648, its inability to sustain recent highs raises investor concerns about potential downside pressure.

The consolidation pattern has broken down, indicating diminished momentum, especially after falling below the crucial support level of $0.00002700. Their next key support levels will be $0.00002430 and $0.00002200; if these break, potential tests of $0.00002000 could occur.

Recovery Potential

Despite the bearish trend, Shiba Inu historically shows a capacity for recovery, often fueled by speculative trading. Recovering above $0.00002800 and maintaining rising volume will be essential to restore bullish momentum.

This article was originally published on U.Today