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The year has started well for Stellar Lumens, as evidenced by the remarkable 30% price recovery. This peak occurs when XLM crosses the 50 EMA, a key sign of possible trend reversals and further market uptrend. Thanks to a favorable market environment and increased trading activity, XLM has gained ground and is currently trading around $0.45. Being an important technical milestone, the break above the 50 EMA is particularly outstanding.
Historically, a bearish phase ends and a more persistent uptrend begins when this moving average is crossed. Around $0.50, a psychological and technical resistance level, is the next possible price target for XLM.
With the momentum and general market optimism, a rally towards $0.60 could be on the cards if the asset is able to overcome this hurdle. With altcoins like XLM gaining ground and Bitcoin holding steady, the market as a whole has shown signs of stabilization.
A retracement could also occur if it is unable to hold above the 50 EMA, testing the support levels at $0.39 and $0.30.
Bitcoin is getting ready
Bitcoin is at a pivotal point as we enter 2025, with a price approaching $96,700. Signs of a possible slowdown are emerging even though the asset has managed to retain much of the momentum it gained during the late 2024 rally. One of the main issues is that Bitcoin is struggling to stay above 50 EMA, a crucial technical level that frequently indicates market trends.
The inability to Bitcoin maintaining a strong position above this line despite some recovery attempts raises questions about the strength of the upward momentum. Failure to regain and maintain this level has historically resulted in prolonged consolidation or even decline. Additionally, trading volume has been rather light, suggesting that recent price movements may not have the strong support needed for a long-term rally.
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Stronger buying pressure is needed for Bitcoin to break the $100,000 psychological barrier, which is a major resistance zone, and validate that its upward trajectory is still in place. But there are some bright spots for Bitcoin in 2025. Growing institutional interest and growing acceptance of cryptocurrencies as mainstream financial assets are driving the cautious optimism permeating the market as a whole .
A more ambitious uptrend could be possible if Bitcoin manages to break past current resistance and surpass the $100,000 threshold. Conversely, Bitcoin may retest lower levels if it is unable to regain important support levels such as $95,000 and $92,000, with the 200 EMA near $76,000 serving as a safety net crucial.
Shiba Inu drills
An important step was taken by Shiba Inu when it crossed the 100 EMA, a crucial technical resistance level that had been a barrier for weeks. Although this breakout shows that the bulls are trying to regain control, the bigger picture suggests little chance of upside in the near term. Since SHIB is currently trading at around $0.00002326, the breakout of 100 EMA indicates a change in market sentiment.
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This trend could attract traders looking to take advantage of short-term momentum. But trading volume remains low, indicating that market participants are not very convinced. From a technical perspective, SHIB has a difficult journey ahead. The 50 EMA is the next major resistance and has historically served as a barrier during rallies. Significant buying pressure would be necessary to push SHIB above this level in order to continue its upward trajectory.
If this is not done, a retracement towards the 200 EMA, which has always offered support, at around $0.000021 could occur. Considering the state of the market as a whole, SHIB’s growth prospects appear limited. The recent price movement of the asset indicates a trend towards consolidation rather than strong rebounds.
The company’s reliance on speculative trading as opposed to fundamental catalysts also raises doubts about Shiba Inu’s future performance. Unless a major catalyst appears, SHIB could continue to trade in a tight range over the coming weeks. SHIB’s trajectory can be affected by volume spikes and changes in the broader cryptocurrency market, so investors should pay attention to this.