As selling pressure continues to weigh heavily on major cryptocurrencies, technical indicators have flagged oversold territory for several tokens. Shiba Inu, XRP, Dogecoin, and Bitcoin all remain locked in persistent downward trends, but analysts suggest the sharp declines may be paving the way for short-lived recovery rallies.
Shiba Inu and XRP struggle for direction
On the Shiba Inu front, the breakdown below the ascending channel that had supported prices since March signaled the end of the recent recovery pattern on the daily chart. Following the breach, SHIB slid to the $0.0000045 zone. Although some buying emerged at this level, momentum has yet to shift convincingly in favor of a sustained trend reversal.
The relative strength index dropping into the 27 to 30 range suggests SHIB is now deeply oversold. Historically, these levels have marked swift, short-term rebounds. However, with the price still lagging below its 50, 100, and 200-day moving averages, any upside is expected to be corrective rather than a true change of direction.
The technical outlook for SHIB reflects a bottoming process rather than a confirmed upturn; while oversold conditions can trigger rebounds, a lasting shift is unlikely until key moving averages are reclaimed.
XRP has faced additional stress after breaking down from a descending triangle formation that formed since March. Losing the $1.28 to $1.30 support range accelerated the drop to around $1.10, an event likely amplified by stop-loss orders and liquidations cascading through the market.
Despite these sharp declines, XRP is attempting to stabilize between $1.15 and $1.18. The RSI for XRP also entered oversold territory, but resistance looms: the 50-day average is at $1.27, the 100-day at $1.35, and the 200-day at $1.40. This suggests that any recovery attempts could quickly meet renewed selling pressure near these levels.
| Asset | Critical support | Nearest resistance | Technical outlook |
|---|---|---|---|
| SHIB | $0.0000045 | $0.0000053 | Oversold, but main trend remains weak |
| XRP | $1.15–1.18 band | $1.27 | Searching for balance after losing support |
Dogecoin eyes rebound, but resistance is close
Dogecoin is similarly under downside pressure. The breach of its ascending trendline, intact since February, accelerated the sales and pulled the price near $0.085. Buyers have begun to surface around this level, according to market reports.
The main positive in DOGE is the RSI’s drop below 30, a territory where sharp snap-back rallies have occurred in the past. Still, the 50-day moving average at roughly $0.096 and the 100-day at $0.102 signal resistance levels that could hinder a near-term recovery effort.
Bitcoin seeks a bottom after steep sell-off
A break below the trendline extending from March to May triggered one of the year’s heaviest sell-off waves for Bitcoin. The price plunged from over $80,000 to nearly $60,000, triggering the largest liquidations of the year across the digital asset markets.
Soaring trading volumes showed the fall was driven by forced sales and panic exits. On the daily chart, the RSI plunging into the low 20s signaled an exceptionally rare oversold reading for Bitcoin. These phases have historically seen the market make at least a brief attempt at a rebound.
The present outlook points more to a bottom formation process following severe liquidations than to the beginning of a new rally; a genuine recovery in Bitcoin requires the price to regain its major moving averages.
Bitcoin continues to trade below its 50, 100, and 200-day moving averages. The $70,000 mark represents the initial strong resistance, with a secondary ceiling near $74,000 to $75,000. After the recent drop, the price has settled in the $62,000 to $63,000 band, hinting at an easing of the initial selling pressure.
