Ethereum faces critical support test
Ethereum is currently trading around $4,185, having declined more than 5% in recent sessions. The cryptocurrency broke down from a symmetrical triangle pattern that had been forming for weeks, disappointing traders who were expecting increased volatility. Honestly, the bearish breakout confirms resistance at $4,600 and suggests selling pressure is building.
What’s interesting is the mixed signals from moving averages. ETH has broken through the 50-day moving average and now relies on the 100-day average at $3,880 for support. If that fails, the 200-day average at $3,378 becomes the next target, which could erase much of the summer’s gains. The volume spike during recent red candles indicates sellers are currently in control.
The Relative Strength Index falling below 40 suggests ETH might be overshooting to the downside, but it could also set up for a short-term relief bounce. Losing $4,000 would be significant psychologically and technically, potentially triggering a test of $3,800 support. Regaining $4,400 would help restore confidence, but current momentum points lower.
Shiba Inu shows consolidation patterns
Shiba Inu is trading near $0.0000122 after briefly breaking below its own symmetrical triangle. The interesting thing here is the lack of consistent selling pressure. On-chain data shows no significant increase in exchange inflows, meaning holders aren’t rushing to sell. This relative calm on the supply side gives SHIB room to stabilize.
The daily chart shows consolidation between major moving averages, with the 200-day EMA around $0.0000100 providing broad support. Volume during recent declines hasn’t spiked dramatically, which suggests capitulation hasn’t occurred yet. The RSI at 41 indicates the market is somewhat oversold, potentially fueling a recovery rally.
If SHIB can regain the $0.0000130-$0.0000135 range, bulls might regain momentum. $0.000020 seems distant but remains possible if market conditions improve in Q4. Historically, SHIB has shown ability to move quickly when demand increases.
Dogecoin maintains underlying strength
Dogecoin is trading around $0.23 after testing resistance near $0.30. Despite the decline, DOGE has found support at the 50-day Exponential Moving Average, which has historically served as a launchpad for recoveries. The larger bullish structure remains intact as long as this level holds.
Volume trends suggest selling pressure hasn’t been particularly intense. The higher lows pattern indicates the market is defending key price zones, and DOGE hasn’t completely surrendered its summer gains. The RSI at 45 is approaching neutral territory, reducing the risk of an overheated market.
If DOGE can reclaim $0.25 soon, the path toward $0.28-$0.30 resistance could open quickly. A breakout from there might eventually test $0.32. Dogecoin’s resilience compared to other assets is notable – maintaining position above long-term averages like the 200 EMA despite volatility suggests the underlying value base remains.
Each cryptocurrency faces different technical challenges, but the absence of panic selling across all three suggests markets are consolidating rather than collapsing. The coming sessions will be crucial for determining whether these support levels hold or if further downside pressure emerges.
