The cryptocurrency market is showing positive trends amid expectations of a potential interest rate cut by the US Federal Reserve. Ethereum, in particular, has bounced back to the $4,500 mark.
Market Analysis
The cryptocurrency market is demonstrating strength on the expectation of potential easing of monetary policy in the US. Ethereum (ETH) has recovered back to $4,500. Following this, several significant memecoins, including **Shiba Inu (SHIB)**, are showing bullish signals.
Shiba Inu's Harmonic Structure
On the daily chart, SHIB is forming a **Bearish Crab** structure which, despite its name, often shows strong bullish movements during the CD leg before the final reversal zone. This leg is currently in progress. The structure started at point X near $0.00001598, dropped to point A, then rallied to point B, and declined again to point C around $0.00001177. After bottoming at C, SHIB regained bullish momentum, reclaiming the 200-day moving average and currently trading near $0.00001331.
Future Prospects for SHIB
For SHIB to maintain its bullish trajectory, it must hold above the 200-day moving average ($0.000012984). Staying above this critical support could fuel further momentum, increasing the likelihood of a move toward the $0.00001869 target area, where traders may expect resistance or profit-taking. However, if SHIB fails to defend the 200-day MA, the setup could weaken, delaying or even invalidating the bullish outlook.
The cryptocurrency market shows confidence, especially regarding Ethereum and Shiba Inu. Investors should closely monitor key support levels that may impact future price movements.
