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Is Ethereum Headed Below $1,000? Bitcoin Death Cross in Question, While Shiba Inu Surprises With Strength
The crypto market is showing signs of turbulence, with Ethereum (ETH) flashing warning signals, Bitcoin (BTC) hovering at a technical crossroads, and Shiba Inu (SHIB) defying expectations with an impressive show of resilience. Let’s break down the latest movements and what they could mean for investors in the short to mid-term.
Ethereum Under Pressure: Will It Drop Below $1,000?
Ethereum, the second-largest cryptocurrency by market cap, is struggling to maintain support above critical levels. Currently trading around $1,960, ETH has fallen sharply from its cycle high of nearly $4,000. Technical indicators suggest the worst might not be over.
The chart paints a grim picture: consistent lower highs and lower lows since January signal a clear downtrend. ETH has recently been rejected from the crucial $1,850–$2,000 resistance zone, adding to bearish pressure. To make matters worse, it’s now tradingbelow the 50-, 100-, and 200-day EMAs, which have turned into dynamic resistance levels.
The Relative Strength Index (RSI) is nearing oversold territory, and volume spikes during sell-offs confirm growing bearish momentum. If macroeconomic conditions worsen or Bitcoin falters, ETH could test its psychological support at $1,000—a level not seen in nearly three years. A breakdown here could accelerate panic selling, potentially pushing the price as low as $800–$900.
However, there’s a sliver of hope. If Ethereum finds support in the $1,500–$1,600 range, it might form a double-bottom pattern, paving the way for a recovery back toward $2,000, especially if accompanied by rising volume and broader market strength.
Shiba Inu Defies the Downtrend
While many altcoins falter, Shiba Inu (SHIB) is showing surprising strength. After threatening to break below the $0.000011 support, SHIB bounced back and is currently trading around $0.000012, with growing momentum.
The recent recovery could mark the early stages of a trend reversal. A notable surge in volume suggests renewed investor interest at lower price levels, often a bullish signal. Traders have successfully defended a key zone, avoiding a potential price collapse that could have added another zero to SHIB’s price.
Technically, SHIB is now challenging resistance in the $0.0000124–$0.0000130 zone. A successful breakout here could open the door to $0.0000155 and $0.0000171, with moving average resistance levels nearby. The RSI’s rise from oversold territory to just under 45 suggests improving sentiment without overbought conditions—ideal for sustained growth.
A decisive move above $0.0000130 on strong volume could flip the market structure bullish. Failure to break out may lead to a retest of $0.000011, but current indicators suggest that the bulls are gaining control, for now.
Bitcoin at a Pivotal Point: Death Cross or Bear Trap?
All eyes are on Bitcoin as it navigates a critical technical setup. After briefly dipping below $78,000, BTC has recovered and is now trading above $81,000, testing key moving averages.
A death cross—where the 50-day moving average crosses below the 200-day—is looming. Typically, this pattern signals long-term bearish momentum. However, it hasn’t occurred just yet, and BTC’s ability to reclaim the $85,000 level could be the deciding factor.
A breakout above this resistance would invalidate the death cross, potentially transforming it into a bear trap and restoring bullish sentiment. The RSI has already bounced back from oversold territory to above 43, while volume has spiked during the recovery—both signs of accumulation rather than distribution.
Still, caution is warranted. If Bitcoin fails to climb past $85,000, a retest of $75,000 or lower becomes likely, and the bearish crossover may play out.
Final Thoughts
The crypto market is at a crossroads. Ethereum’s downward pressure threatens a fall below $1,000, Bitcoin teeters between bearish and bullish outcomes, and Shiba Inu shows the unexpected strength of meme coins under pressure.
Traders and investors should keep a close eye on key support and resistance levels, volume trends, and macro indicators as these assets decide their next move. One thing’s for sure—volatility isn’t going anywhere.
Stay tuned, and trade safe.
