Several prominent cryptocurrencies displayed notable technical activity this week as traders focused on critical support and resistance levels. Hyperliquid, Shiba Inu, Chainlink, and Stellar each faced pivotal moments, with buyers and sellers battling for control amid mixed market sentiment.
Hyperliquid nears key support after correction
After entering a corrective phase that lasted almost two weeks, Hyperliquid (HYPE) approached a critical technical level. The digital asset traded near $59.5, resting just atop its 100-day exponential moving average (EMA), a price area that has historically provided reliable support during the ongoing uptrend.
Since HYPE’s rally in June, which took it close to $75, the token has recorded a series of lower highs, yet managed to stay above major long-term support levels. The latest pullback saw HYPE dip beneath the 26-day and 50-day EMAs, highlighting sustained downward momentum in the short term.
Traders observed, “Despite recent weakness, sellers have not managed a clear break below the $57.5 100-day EMA. If buyers hold this support, HYPE could mount a rebound toward the 50-day EMA at $62 and the 26-day EMA at $64.3.”
Volume has steadily declined during the correction, often viewed as a sign of profit-taking rather than panic selling. The relative strength index (RSI) fell to 43, suggesting potential for renewed buyer activity as the token avoids entry into oversold territory.
If the 100-day EMA fails, the next significant support is the 200-day EMA near $50. Such a drop would mark a break in the medium-term bullish pattern that has prevailed since March. Whether this proves to be merely a temporary pullback or a deeper retracement will depend on HYPE’s ability to maintain current support levels.
Mini dictionary: Exponential Moving Average (EMA) — A technical indicator that gives greater weight to recent price data for assessing trend direction and support/resistance levels. They are widely used by traders to evaluate short- and long-term market trends.
Shiba Inu breaks out with high volume
Shiba Inu (SHIB) delivered a notable breakout, as daily trading volumes exceeded 2 trillion SHIB. This surge propelled the token past both the 26-day and 50-day EMAs before briefly testing resistance around the 100-day EMA near $0.00000504.
The rally brought an end to the sequence of lower highs that had dominated SHIB’s July trading. However, despite breaking key resistance levels, immediate selling pressure emerged above the 100-day EMA, with a sharp upper shadow on the daily candle indicating ongoing profit-taking by traders.
Technical analysts noted, “SHIB’s price strength improved after reclaiming several moving averages. If the asset stabilizes above $0.00000445 and $0.00000448 support, it could consolidate gains and set up another attempt at the declining 200-day EMA near $0.0000060.”
Momentum indicators also showed improvement, with the RSI climbing toward 65 but remaining below overbought thresholds. Confirmation of a broader recovery, however, will depend on SHIB’s ability to secure daily closes above the 100-day EMA and to transform former resistance into sustained support.
Chainlink eyes trend reversal, targets $10 zone
Chainlink (LINK), an oracle network known for connecting blockchains with real-world data, regained momentum as it traded at $8.72. The token held positions above its 26-day EMA and moved through the 50-day EMA, enhancing its short-term technical outlook.
After setting a local bottom near $7.20, LINK established higher highs and lows amid rising volume, reflecting increased investor participation. The primary short-term target now sits between $8.80 and $9.00; clearing this range on a daily close would likely open the path toward the psychologically significant $10 level.
The RSI moved above 60, signaling further potential upside without immediately entering overbought territory. Nonetheless, the 200-day EMA at $9.75 remains the first major long-term resistance. A move above this point would invalidate much of the bearish pattern seen throughout the year. Conversely, supports at $8.49 (26-day EMA) and $8.00 (50-day EMA) are watched closely in case of a reversal.
Mini dictionary: Chainlink — A decentralized oracle network designed to supply blockchain smart contracts with external, real-world data in a secure and reliable manner.
| Token | Current Price | Key Support | Initial Resistance | Main Resistance |
|---|---|---|---|---|
| HYPE | $59.5 | $57.5 (100-day EMA) | $62 (50-day EMA) | $75 (June peak) |
| SHIB | ~$0.000005 | $0.00000445 (26-day EMA) | $0.00000504 (100-day EMA) | $0.0000060 (200-day EMA) |
| LINK | $8.72 | $8.49 (26-day EMA) | $8.80-$9.00 | $9.75 (200-day EMA) |
| XLM | $0.181 | $0.175 | $0.192 (50-day EMA) | $0.20 (Psychological/May level) |
Stellar consolidates, volatility declines
Stellar (XLM) entered a prolonged consolidation period after fading from its early summer rally, currently trading around $0.181. The asset’s price fluctuates near its 26-day, 50-day, and 100-day EMAs, creating a balanced market where neither buyers nor sellers hold a clear advantage.
Resistance is forming near $0.192 (50-day EMA) and $0.196 (100-day EMA), while the 26-day EMA at $0.186 often caps recovery attempts. Trading volume has declined since the June breakout, indicating a drop in speculative interest. The RSI sits near 44, consistent with subdued momentum outside traditional oversold levels.
On the downside, first support appears at $0.175; breaching this level could trigger further declines toward the previous swing low near $0.165. On the upside, a daily close above the 26-day EMA would allow a retest of key resistances and could foster renewed bullish sentiment. For now, Stellar’s outlook remains neutral as compression around major moving averages replaces the sharp volatility seen in June.
