SHIB price has formed new monthly lows, erasing all gains since the end of July. This move came at a time when Dogecoin and Ethereum lacked momentum.
Shiba Inu (SHIB) price close to bitter
Shiba Inu price is on every investor’s radar as bears hit new lows for September. It is currently floating below the recently lost 8-day exponential and 21-day simple moving averages. If the moving averages collide and market conditions continue, a bearish death cross will occur. Death cross threatens an additional 20% drop in targeting the summer low of 0.000000978.
The Shiba Inu is currently trading at $0.00001173. The bears have successfully wiped out all gains since July 29. The volume data shows that the bulls are not retaliating as investors stay on the sidelines during the downtrend.
Still, the Shiba Inu has the potential to burst for short-term gains before summer bottoms break. The bulls are strong enough to block the previous moving averages. Besides, if permanent support is provided, there are chances of an additional 13% rally towards the $0.00001400 resistance area in the near term. This countertrend scenario does not invalidate the bearish thesis. But investors should still be aware of the possibility. Breaking the summer low of $0.000978 increases the chances of breaking the high above $0.00001800.
Therefore, the invalidation of the drop targeting $0.000000978 is a breach of $0.00001800. If the bulls can re-conquer this resistance level, the bulls can start the rally targeting the April 29 low of $0.00001839. Such a move suggests a 57% increase from the current Shiba Inu price.
Dogecoin price ready to take action as SHIB falters
Dogecoin price dropped 35% between August 17 and September 7 after being rejected at around $0.0889. This downtrend formed a bottom at $0.0574 forming even bottoms. Analyst Akash Girimath expects a 20% increase to coincide with the multi-year downtrend line on the Dogecoin chart. This will coincide with the $0.0729 region.
Interestingly, this level will mark a buying opportunity as it will be the first time in about 500 days in Dogecoin price. Therefore, this development triggers a big rise for DOGE. There is also the possibility of starting a bull run. However, DOGE’s rise is limited to $0.0729 until the said trendline is broken.
On the other hand, if the Dogecoin price fails to produce a higher top, it will signal a weakness in buyers. In such a case, traders can close their positions at $0.0574. If the Dogecoin price produces a daily candlestick below $0.0574 without a quick recovery, it will invalidate the bullish thesis.
Ethereum needs more time
The Ethereum price has dropped about 21% since September 11. It then started to retest the $1,355 to $1,440 support area. Therefore, a recovery rally will push Ethereum price higher. But $1,571 and $1,730 hurdles will be major blockades.
Overcoming these resistances is necessary for further progress. Failing to do so would see Ethereum price rally to $1,730, a 19% increase from the current position to $1,453. However, ETH needs to retest $2,034 and form a double top. However, it must surpass the $1,730 resistance level to do so. Assuming that ETH can even break this level for a brief moment to retest $2,034, the increase would provide a 40% gain.
As things look for Ethereum price, failing to hold the weight above the $1,355 to $1,440 support area will be the first sign of weakness among buyers. If ETH produces a daily candlestick below $1,355, it will show that the bears are in control. This development will create a lower bottom. It will also invalidate the rally for ETH. According to the analyst, this scenario will trigger a sell-off to the $1,280 support level.
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