The recent surge in Ethereum’s price has encountered a momentary pause, prompting investors to assess when the rally might resume. Chart analysis indicates a healthy consolidation phase following a sharp rise, with Ethereum’s price still comfortably above its 50-day and 100-day moving averages, suggesting a bullish trend. The relative strength index (RSI) retreat from overbought levels signals potential room for another upward move.
In a bullish scenario, Ethereum’s price may gear up for another rally if it maintains support levels and avoids falling below moving averages. Increased adoption and positive market sentiment could fuel this potential rally. Observing a narrowing of Bollinger Bands and a breakout above the upper band might signify the beginning of another bullish phase.
Recent data highlights Ethereum’s burn rate experiencing steady growth, surpassing emissions six months post the Merge upgrade. Despite a seven-month low in daily burn rate on March 12, with an 89% drop since record highs, this dynamic could impact supply and demand economics, influencing the price. Investors are advised to monitor the continuation of the net burn trend, which, if sustained, could lead to decreased supply and higher prices with steady or increased demand.
In the midst of this, the meme coin frenzy persists, with Shiba Inu (SHIB) taking the spotlight. Recent price actions have stirred discussions about breaching the $0.00001 threshold this week. A technical analysis reveals an uptick in SHIB’s value, challenging previous resistance levels. The moving average convergence divergence (MACD) and relative strength index (RSI) suggest a strong bullish momentum, with the breach of the 50-day and 100-day moving averages indicating a robust uptrend.
While the psychological mark of $0.00001 is within sight for Shiba Inu, sustaining this level requires ongoing momentum and increased buying volume. A close above this mark on the daily chart may confirm a bullish breakout, potentially leading to further gains. Large-scale SHIB transfers by Binance add to the speculative environment, indicative of potential institutional interest or significant traders taking positions.
The current technical setup for Shiba Inu is promising, with the potential to reach and exceed the $0.00001 mark. However, investors are cautioned about the inherent volatility of meme coins, which are highly sensitive to market sentiment. Keeping a vigilant eye on technical indicators and developments related to large transfers will be crucial in determining whether SHIB can maintain its upward trajectory.
