Trading volume for Shiba Inu is rising significantly, but the conditions surrounding this upswing are not encouraging. Although a spike in volume frequently indicates increasing momentum and interest, the fact that it appears during a downtrend should be interpreted differently. Despite regaining an important resistance level, SHIB has been trapped in a downtrend for the last few months.

At its current price of about $0.00001322, the asset is having difficulty gaining significant upward momentum. Even with the recent increase in trading volume, the price action is still muted, suggesting that sell-side pressure rather than actual accumulation is probably responsible for the majority of this volume. One of the main resistance barriers is still the descending trendline.

SHIB would have to rise above $0.00001508 in order to indicate a possible change in momentum. However, if buyers do not intervene, a further decline toward $0.00001200 is still possible given the current bearish structure. A spike in volume usually follows a robust uptrend on bullish markets, which supports price increases. This volume increase, however, is taking place in a declining market for SHIB. 

Such a situation usually means that retail interest is declining, liquidity is drying up and larger players are pulling out of their positions. More price drops as opposed to recoveries are frequently preceded by this kind of volume pattern. The increased volume may cause further downside as selling pressure increases if SHIB is unable to break above its major resistance levels. 

Bitcoin’s battle

Bitcoin is attempting once more to break a crucial resistance level that has been limiting its upward momentum, the $90,000 mark. The cryptocurrency is currently attempting to overcome this psychological barrier following a dramatic rebound from its most recent lows, which has investors wondering if this time will be different.

At the moment, Bitcoin is trading at about $89,994, just below the significant resistance level of $90,000. A successful breakout could pave the way for additional gains; the critical $98,000 level and $94,000 are the next important targets. BTC may return to lower support zones if it is rejected at this level, which could lead to another pullback. 

As traders assess global macroeconomic factors, liquidity conditions and overall risk appetite market sentiment is still mixed. Although the recent rebound from $85,000 indicates that buyers are intervening at lower levels, it is unclear if they are strong enough to push Bitcoin above $90,000.

 

BTC would indicate fresh bullish momentum if it could close above $90,000 with high volume. With the next significant resistance level at $98,000, a confirmed breakout could trigger a rally toward $94,000 and possibly higher. In the upcoming weeks, Bitcoin might target the $105,000-$110,000 range if it breaks above these levels, putting it back on course for another all-time-high run. 

A rejection could result in another retracement if Bitcoin is unable to surpass $90,000. A further decline could push Bitcoin down to $82,000, with $85,000 serving as the immediate support. BTC might even retest the $78,000-$80,000 range in a more severe decline, which would put bulls on the defensive. The inability to breach $90,000 may also lead to a brief correction on the larger cryptocurrency market, which would raise altcoin volatility. 

Solana’s chances

Solana has rebounded from recent lows and is now back above $147.48, indicating that it is on a local uptrend. Nevertheless, wider market indicators show that caution is still necessary in spite of this temporary respite. Moving averages are still in a bearish position even though SOL’s price is rising and a possible death cross could increase the likelihood of further declines. With several green candles and increasing bullish momentum, Solana has recovered after falling below $130. 

If this zone is broken, the recovery attempt may be deemed invalid and SOL may plummet toward the psychological $100 level. The larger technical structure is still worrisome despite the local uptrend. A death cross, a bearish formation that usually precedes further downside, is more likely as a result of the 50-day and 200-day EMAs converging. 

It might force SOL into a more severe correction phase if the death cross appears, which would make it harder for bulls to maintain their upward momentum. However, the risk of a death cross might be avoided if SOL keeps improving and regains important resistance levels. A persistent increase above $170 would be a clear indication that bulls are taking back control.